Commerzbank (FRA: CBK) and Global Payments (NYSE: GPN), a leading worldwide provider of payment technology and software solutions, today announced a joint venture to offer digital payment solutions to small and medium size business customers across Germany.

The new entity, Commerz Globalpay GmbH, is expected to launch in the first half of 2024 and will provide a comprehensive suite of innovative omnichannel payment and software solutions at scale, providing a one-stop-shop for merchants to run and grow their businesses more efficiently.

Commerzbank will hold a 49 percent stake in the company, which will be based in Frankfurt/ Main, Germany and Global Payments will hold 51 percent.

The joint venture unites two strong brands. Commerzbank brings the knowledge and customer relationships within the German small and medium sized business market, while Global Payments brings commerce enablement solutions and distinctive payment offerings.

Commerz Globalpay GmbH will offer digital payment capabilities, including Global Payments' smartphone-based payment applications that enable merchants to accept mobile payments without a separate card reader, modern card terminals and e-commerce/mobile payment solutions, all integrated to deliver seamless omnichannel experiences. Furthermore, business customers will have access to a variety of leading value-added services, including cloud-based point-of-sale software, customer loyalty programmes, an analytics and customer engagement platform, and more.

"With this joint venture with Global Payments, we are investing in modern forms of payments at the highest level. Through simple solutions, new products, and technologies provided by Global Payments, we are creating an optimal experience for Commerzbank customers. This makes the project an important part of our strategy update to create added value and excellence for our customers," said Thomas Schaufler, member of the Board of Managing Directors responsible for Private and Small-Business Customers at Commerzbank.

“Commerzbank is the ideal partner to expand our presence in Germany to deliver industry-leading services to merchants across the country,” said Cameron Bready, President and CEO of Global Payments. “This joint venture significantly enhances distribution for our distinctive payment offerings and commerce enablement solutions in an attractive growth market where there are substantial opportunities to digitize the payment experience.”

The completion of the transaction is subject to the approval of the responsible supervisory and antitrust authorities.