French payment services provider Ingenico Group has concluded the merger of German payments firm BS PAYONE with Ingenico Retail assets in DACH (Germany, Austria, Switzerland) after securing regulatory approvals.

BS PAYONE is owned by Deutscher Sparkassenverlag. The merged entity will operate under the name Ingenico Payone Holding GmbH.

Fifty two percent of the combined group will be owned by Ingenico Group. The balance stake will be owned by Deutscher Sparkassenverlag.

Ingenico Group CEO Nicolas HUSS said: “Our strong positioning in the German market as Network Service Provider and the ongoing deployment of the Bambora model, coupled with the local footprint of BS PAYONE and the German Sparkassen will enable the Group to accelerate its direct-to-merchant strategy and to grow the Retail business unit.

“We are confident that the new PAYONE division will create strong value to Deutscher Sparkassenverlag and Ingenico Group’s shareholders.”

The combination is said to create the “leading payment provider in Germany” and generate €30m in synergies.

“Over the period from now to 2021, the joint venture is expected to grow at a low teens CAGR in term of revenues and a high teens CAGR in term of EBITDA,” Ingenico Group said in a statement.

Ingenico Group started exclusive talks for the merger in May last year.