French cooperative Crédit Agricole has acquired a majority stake in payment aggregation and initiation fintech Linxo.
Founded in 2010 and based in Aix-en-Provence, Linxo provides account aggregation, payment initiation and personal finance management solutions via a technology platform supplied by its subsidiary, Oxlin. The Linxo mobile app has more than 3 million users in France.
The fintech is a long-time partner of Crédit Agricole, and the bank uses Linxo’s aggregation services in its mobile applications.
Upon completion of the transaction Crédit Agricole will own more than 85% of Linxo, with the remaining capital to be held by its board of directors and founders.
For Bertrand Chevallier, CEO of the bank’s payment services, the acquisition marks an important step in meeting its strategic aim of “offering customers […] innovative payment services that meet the highest market standards.”
He adds: “It represents a major contribution in terms of technology that will enable the group to take full advantage of the innovation opportunities offered by changes in regulations.”
Bruno Van Haetsdaele, president of Linxo Group, says that the deal will see his firm able to accelerate and strengthen its services, as well as give it an opportunity to develop its services in France and internationally.
The deal is subject to authorisation from the French Prudential Supervisory and Resolution Authority (ACPR).
Crédit Agricole set down a market in Summer 2019 when it stated that it had allocated a €15 billion budget for technological transformation.
The group plans to achieve a “data-centric” architecture across 90% of its operations by 2022, and save €300 million via “increased IT efficiency”.