FRANKFURT (Reuters) - Buyout groups are preparing final bids for German payments group Concardis, potentially valuing the group at more than 600 million euros ($636 million), people close to the matter said on Monday.
CVC, Bridgepoint and a consortium of Advent and Bain are expected to hand in an offer for the group, which is jointly-held by several German banks, by a deadline early next week, the people said, adding strategic players such as Wirecard (WDIG.DE) had dropped out of the race.
Concardis’ largest shareholder is Deutsche Bank (DBKGn.DE), with a 16 percent stake, while smaller stakes are held by Commerzbank (CBKG.DE), Unicredit (CRDI.MI), as well as savings banks and cooperative banks. They are expected to decide on a buyer early next year.
Concardis offers card payment terminals as well as payment technology for e-commerce groups and is viewed as a non-core business by many of its owners.
The company is hoping a new owner will invest in new technologies and an expansion of its so far very Germany-focused footprint.
Concardis posted core earnings of 33.9 million euros and a net profit of 24.2 million euros on sales of 480 million euros last year. It said in its annual report that core earnings were expected to rise 7 percent this year.
More deals in the sector are likely to follow. In Germany, small peer Heidelberger Payment (Heidelpay) is currently also up for sale, while savings-banks owned B+S Card Service is looking for an investor.
Concardis and the bidders declined to comment.
Reporting by Alexander Hübner, Dasha Afanasieva and Arno Schuetze; Editing by Tina Bellon and Mark Potter