CMS advises Erste Group on CEE Joint Venture with Global Payments and CaixaBank
CMS has advised Erste Group Bank AG and its subsidiaries (“Erste Group”) on its agreement with Global Payments Inc., a leading worldwide provider of payment technology solutions, to establish a joint venture providing merchant acquiring and payment processing services to retailers in the Czech Republic, Romania and Slovakia.
Upon completion of the transaction, Erste Group will sell 51% of its merchant acquiring businesses in the three countries for EUR 29.94 million to Global Payments, resulting in a joint venture in which Erste Group will retain a 49% stake.
Furthermore, the two companies have signed an agreement with CaixaBank, the largest retail bank in Spain and one of Erste Group’s key shareholders, whereby CaixaBank will hold a stake in the joint venture based on its existing strategic partnership with Global Payments Inc.
The transaction is expected to close in the second half of fiscal year 2016, subject to receipt of regulatory approvals and satisfaction of customary closing conditions.
The CMS team that advised Erste Group was led by partner Anela Musat (CMS London) and further comprised partners Patrik Przyhoda (CMS Prague), Pavla Krečková (CMS Prague) and Cristina Reichmann (CMS Bucharest), overseen by Erste Relationship Partner Helen Rodwell (CMS Prague).