Concardis strengthens market position in SME segment: acquisition of PCS PayCard Service and Simplepay

• The full-service payment provider is acquiring local giants in the terminal business in Berlin and Mannheim

• Close collaboration planned in sales in particular

• PCS PayCard Service and Simplepay will remain independent companies in their GmbH structures

Eschborn-based full-service payment provider Concardis is acquiring PCS PayCard Service GmbH and Simplepay GmbH, based in Mannheim and Berlin respectively. Both companies are independent sales organisations (ISO) and well-established giants in their respective regions, providing solutions for cashless payments at retail points of sale, especially with small and medium-size enterprises – a market segment where Concardis would like to expand its presence. PCS PayCard Service and Simplepay will remain independent companies. Founders and managing directors Daniel Altehoefer and Jason Altehoefer will continue to manage the companies. The sale will be concluded as of 1 January 2018. Approval from the German Federal Financial Supervisory Authority (BaFin) and the Bundeskartellamt is not necessary.

‘PCS PayCard Service and Simplepay have built up an efficient sales structure for small and medium-size enterprises – and we see plenty of potential in exactly this market segment. With continued digitisation, small and medium-size enterprises will need to take on the topics of online retail and omnichannel sales in addition to modern payment solutions for the point of sale. Concardis offers all of that from a single source. Through the bundling of product solutions under one roof, we can develop the right offers for very specific needs and retail segments,’ says Marcus W. Mosen, CEO of Concardis.

‘As part of the Concardis Group, we can significantly expand our range of products for our customers, thereby providing them with even better service. At the same time, we can enhance our sales opportunities in the segment of small and medium-size enterprises with Concardis,’ says Daniel Altehoefer, founder and managing director of PCS PayCard Service. His nephew Jason Altehoefer, founder and managing director of Simplepay, adds: ‘We are happy to now be part of a corporate group which is deeply rooted in the German market and invests in new products and solutions. We and Concardis both stand out thanks to our understanding of the payment business and the needs of our customers – perfect conditions for a successful partnership.’

PCS PayCard Services and Simplepay have made very good names for themselves as independent sales organisations in their locations of Mannheim and Berlin. With a total of 35 employees, the two companies see to the needs of some 4,700 customers with approximately 6,500 terminals. In 2016, the transaction volume of credit card payments amounted to €98 million.

With the acquisition of the two terminal providers, Concardis Group is continuing its growth strategy: as recently as August 2017, technical network operator Cardtech GmbH was integrated into the corporate group. Four months before that, invoice purchase specialist Ratepay was acquired by the group, supported by the shareholders Advent International and Bain Capital Private Equity. The stated objective of the two financial investors is to make Concardis a payment champion of German-speaking Europe through increased investment in infrastructure and innovation.