Blackhawk Network, a leading prepaid payment network and a subsidiary of Safeway, which supports the distribution of gift cards, prepaid telecom products and financial services products across the global network has completed acquisition of Retailo AG as part of the European expansion strategy.
Retailo was founded in 2008 by Christain Lindder, who is the current CEO and is funded by investors including Endeavor vision, Wellington Partners, Seventure partners and High tech Grunderfronds.
Some features of the Acquisition:
The value of the acquisition has been undisclosed but is estimated to be in the range of $68 Mn.
Retailo is headquartered in Cologne , Germany and will operate as a business unit of Blackhawk post the acquisition.
Retailo has point of sales outlets across 40,000 locations in Germany, Austria and Switzerland including retailers Amazon, Zalando, & Ikea.
Through Retailo, Blackhawk adds leading distribution partners in the region such as Rewe, Kaisers and Aral.
The acquisition adds digital network offerings to Blackhawk’s capabilities through Retailo’s digital gifting network including email, sms, smartphone and social media apps.
"Blackhawk is focused on international growth, and the acquisition of Retailo in Germany, Europe's biggest economy and a country where gift cards are becoming increasingly popular with consumers, is a clear indication of our ability to execute strategically to expedite that growth," said Bill Tauscher, CEO at Blackhawk Network. "Christian Lindner and his team at Retailo have built an impressive business, and the synergies between our companies in terms of retail best practices and digital services -- to name just a few -- have us very excited about the opportunities ahead," he added.
Other players operating in the same field include InComm and ePay. Atlanta based Incomm is a leading marketer, distributor and technology innovator of store value gift and prepaid cards. Incomm has close to 225,000 partner locations.
Blackhawk is already present in the UK, France, the Netherlands and the Nordics. This acquisition further enhances Blackhawks global expansion strategy. Recently, Blackhawk network also acquired Intelispend using a credit line of $175 Mn.