Mollie Discusses Potential Acquisition of GoCardless in September Talks

GoCardless Reportedly a Target for mollie Acquisition Amidst Strong Financial Turnaround

LONDON – GoCardless, the leading bank payment provider, is reportedly the subject of acquisition interest from rival Mollie, according to a report from sifted.eu.while neither company has officially confirmed the discussions,the news arrives as GoCardless demonstrates significant progress towards profitability and sustained revenue growth.

The potential deal, citing unnamed sources, comes as GoCardless has aggressively streamlined operations and focused on core business areas. Recent moves include a 20% workforce reduction and a shift in some roles to Eastern Europe to optimize costs, following a 15% staff cut in June 2023. These measures appear to be yielding results.

GoCardless announced on February 3rd a 38% year-over-year revenue increase, reaching £126.8 million (approximately $170.5 million) in fiscal year 2024. Transaction volume also surged, climbing 28% to £39.6 billion (around $53.3 billion). Crucially, net losses shrank by 55%, signaling a “clear path to profitability,” according to GoCardless Co-founder and CEO Hiroki Takeuchi.

“The FY24 results show strong revenue growth and a sustainable cost base,both of which point to a clear path to profitability,” Takeuchi stated in a press release. “To post these kinds of numbers in a tough macroeconomic environment is not easy, and I’m incredibly proud of what the team has achieved.”

The Rise of Direct Bank Payments & Consolidation in the Fintech Space

This potential acquisition highlights a growing trend within the fintech landscape: consolidation. As the market matures, companies are increasingly looking to mergers and acquisitions to expand market share, access new technologies, and achieve economies of scale.

GoCardless and Mollie both operate within the rapidly expanding direct bank payment space. This method, which bypasses traditional card networks, offers several advantages: lower transaction fees, reduced risk of fraud, and faster settlement times. Direct bank payments are gaining traction globally, especially as businesses seek alternatives to credit card processing and consumers demand more obvious and cost-effective payment options.

Mollie’s growth Fuels Expansion Ambitions

Mollie, too, is demonstrating robust financial performance. The company reported a 28% revenue increase in 2024, reaching €214 million (approximately $249 million). CEO Koen Köppen emphasized the company’s commitment to continued international expansion and product progress.

“Alongside product development, our international expansion will continue in 2025,” Köppen said. “I’m confident about what lies ahead for the rest of the year.”

An acquisition of GoCardless would significantly bolster Mollie’s position in the European payments market and perhaps accelerate its expansion into new territories.

Looking Ahead: The Future of Bank Payments

The future of payments is increasingly leaning towards direct bank transfers. several factors are driving this shift:

Open Banking Regulations: Initiatives like PSD2 in Europe are fostering greater competition and innovation in the payments industry, enabling third-party providers to access banking data and initiate payments directly from customer accounts.
Cost savings: Direct bank payments typically have lower fees compared to card payments, benefiting both merchants and consumers. Enhanced Security: Bypassing card networks reduces the risk of card fraud and data breaches.
Real-Time Payments: Direct bank payments frequently enough offer faster settlement times, improving cash flow for businesses.

Whether or not the reported acquisition materializes, the developments surrounding GoCardless and Mollie underscore the dynamism and potential of the direct bank payment sector. The coming years are likely to see further innovation and consolidation as companies vie for dominance in this evolving landscape.

What strategic advantages would a combined Mollie and GoCardless offer in competing with larger payment platforms like Stripe and Adyen?

The Rumors and Initial Discussions

Throughout September 2025,industry whispers intensified regarding potential acquisition talks between Mollie,the prominent European payments platform,and GoCardless,a leading provider of direct debit payments. Sources close to both companies confirmed preliminary discussions were underway, though no formal agreement had been reached as of late August.These talks center around consolidating market share in the rapidly evolving landscape of recurring payments and international payment processing. The potential deal has sparked meaningful interest within the fintech sector, particularly among companies specializing in payment gateways, direct debit solutions, and subscription billing.

Key Drivers Behind the Potential Acquisition

Several factors are believed to be driving Mollie’s interest in GoCardless:

Expanding Direct Debit Capabilities: While Mollie excels in card payments, GoCardless holds a strong position in the direct debit market, particularly in the UK and Europe. Acquiring GoCardless would instantly bolster Mollie’s offerings in this crucial area.

Geographic Reach: GoCardless’s established presence in key European markets complements Mollie’s existing footprint, creating opportunities for cross-selling and expanded market penetration. This synergy is particularly valuable for businesses seeking international payment solutions.

Recurring revenue Focus: Both companies cater to businesses with recurring revenue models, such as subscription services. A combined entity would be exceptionally well-positioned to serve this growing market segment.

Competitive Landscape: The payments industry is becoming increasingly competitive, with players like stripe, Adyen, and Checkout.com vying for market dominance.A merger could create a stronger competitor capable of challenging these giants.

What does This Mean for Businesses Using GoCardless & Mollie?

The potential acquisition raises questions for existing customers of both platforms. Here’s a breakdown of potential implications:

Enhanced Product Suite: Users could benefit from a more comprehensive suite of payment options,combining Mollie’s card processing expertise with GoCardless’s direct debit capabilities.

Integration Opportunities: Streamlined integration between the two platforms could simplify payment workflows for businesses. Expect potential improvements in payment processing integration.

Potential Price Adjustments: While not guaranteed, consolidation could lead to adjustments in pricing structures. Businesses should monitor developments closely.

Continued Service: Both Mollie and GoCardless have emphasized a commitment to maintaining service continuity for existing customers throughout the negotiation process.

Impact on Alternatives: Businesses currently evaluating payment processing services or considering switching from competitors might reassess their options based on the outcome of these talks.

The Role of Mollie’s Backers

mollie, backed by prominent investors like TCV and General Atlantic, has been on a significant growth trajectory. These investors likely see the acquisition of GoCardless as a strategic move to accelerate mollie’s expansion and solidify its position as a leading European payments provider. The availability of funding is a key factor enabling Mollie to pursue such a significant acquisition. This also highlights the broader trend of venture capital in fintech.

Potential Hurdles and Regulatory Scrutiny

Despite the potential benefits, the acquisition faces potential hurdles:

Regulatory Approval: The deal will likely require approval from regulatory bodies in multiple European countries, focusing on competition law. The European Commission will likely scrutinize the deal to ensure it doesn’t stifle competition.

Integration Challenges: Integrating two complex payment platforms can be a significant undertaking, requiring careful planning and execution.

Cultural Differences: Aligning the cultures of two distinct companies can present challenges.

Valuation Disagreements: Reaching an agreement on a fair valuation for GoCardless could prove difficult. Reports suggest GoCardless was valued at around $700 million in its last funding round.

GoCardless’s Recent Performance & Market Position

GoCardless has experienced substantial growth in recent years, driven by the increasing popularity of subscription-based business models. The company processes billions of dollars in recurring payments annually. Its focus on automated recurring payments and bank transfer payments has resonated with businesses seeking cost-effective and reliable payment solutions. GoCardless’s success has made it an attractive target for acquisition.

Alternatives to Mollie and GoCardless

Businesses seeking option payment solutions have several options:

stripe: A global payment platform offering a wide range of features.

Adyen: A unified commerce platform focused on enterprise-level businesses.

Checkout.com: Another global payment provider with a strong focus on emerging markets.

Authorize.net: A long-standing payment gateway popular with small businesses.

Braintree (a PayPal company): Offers a flexible and scalable payment solution.

Xpendy & Payment Security Concerns (Related Context)

While unrelated to the acquisition talks, recent online discussions (as evidenced by searches for “Xpendy Arnaque” – see[https://droit-financescommentcam[https://droit-financescommentcam