Hypothekarbank Lenzburg Acquires Swiss Bankers Prepaid Services

Hypothekarbank Lenzburg Acquires Swiss Bankers Prepaid Services

Hypothekarbank Lenzburg has acquired Swiss Bankers Prepaid Services, aiming to create a leading provider in the Banking-as-a-Service and embedded finance sectors.

Hypothekarbank Lenzburg is acquiring the entire share capital of Swiss Bankers Prepaid Services, the two institutions announced Monday evening.

According to the statement, the relevant purchase agreement was signed on Monday. The purchase price remains undisclosed. The transaction is subject to the approval of the Swiss Financial Market Supervisory Authority (FINMA) and the Financial Market Authority Liechtenstein, with approval processes already initiated.

New Heavyweight on Finstar

The merger will create a new force in the Swiss Banking-as-a-Service and embedded finance sectors, based on the Finstar banking platform. Hypothekarbank Lenzburg currently operates its Banking-as-a-Service business under the HBL Solutions brand and is considered a pioneer in this area in Switzerland. In recent years, Swiss Bankers has digitized its payment business and successfully launched key embedded finance components such as the digital card and the global card-based peer-to-peer money transfer service «Send» from Switzerland to many countries.

Additionally, the e-money license held by Swiss Bankers in Liechtenstein will enable Hypothekarbank Lenzburg to expand its business into the European market. The customer base of Swiss Bankers includes more than 200 companies from sectors such as banking, transportation, and multinational corporations.

Swiss Bankers to Become a Subsidiary

Hypothekarbank Lenzburg plans to continue operating Swiss Bankers in its current form as a subsidiary and to leverage the Swiss Bankers brand more extensively in the future. «Together, we can develop this growth area more quickly and achieve greater development potential in the Banking-as-a-Service and embedded finance business by combining our strengths in a new company», said Gerhard Hanhart, Chairman of the Board of Directors of Hypothekarbank Lenzburg.