The strategic investment will support JP Morgan’s omnichannel merchant acquiring capabilities for European SMBs, along with value-added services and payments
JP Morgan to buy 49% stake in cloud payments fintech Viva Wallet. (Credit: Bethany Drouin from Pixabay)
JP Morgan has agreed to acquire around 49% stake in European cloud-based payments fintech company Viva Wallet for an undisclosed sum.
Established in 2000, in Athens, Greece, Viva Wallet has created a cloud-based payments platform that serves small businesses across 23 countries.
Its platform offers value-added services including tap to device technology, merchant cash advance, bill pay, expense management, virtual debit card, gift cards and loyalty.
Viva Wallet CEO and co-founder Haris Karonis said: “Viva Wallet’s mission is to change the way businesses pay and get paid in Europe with cutting edge technology, unprecedented agility and in-depth knowledge of the European payments landscape.
“This strategic investment from J.P. Morgan’s Payments business will enable us to complete the build-out of our vision to deliver fully localised payments and transactions services to SMBs across Europe.”
JP Morgan, through its payments business, targets growing its omnichannel merchant acquiring capabilities offered to SMBs in Europe.
The company said that its investment in Viva Wallet complements its payments business to deliver an integrated payments experience to clients.
Its payments business combines corporate treasury services, trade finance, card and merchant services capabilities, claims JP Morgan.
In addition, the company has recently launched a new brand for SMB payments in the US, dubbed Chase Payment Solutions.
Its new investment would supplement its technology and team that have already been offering omnichannel merchant acquiring capability to SMBs across Europe.
JP Morgan Securities served as an exclusive financial advisor, and Freshfields Bruckhaus Deringer and Karatzas & Partners as legal advisors to JP Morgan on the transaction, which is subject to regulatory approvals.
Jefferies served as an exclusive financial advisor and Davis Polk & Wardwell as legal advisor to Viva Wallet.
JP Morgan Payments global head Takis Georgakopoulos said: “We are very excited to make a strategic investment in Viva Wallet to support their vision to empower new growth and payments innovation targeted at European small and midsize businesses (SMBs) and middle-market merchant services clients.
“The European payments landscape is fragmented yet large in terms of opportunity, with more than 17 million merchants ready to implement scalable payments solutions and this is a big focus area for added growth for J.P. Morgan Payments in the future.”