Key Takeaways
- • Advent International and Bain Capital Private Equity have signed a definitive agreement to acquire Ratepay GmbH, a Berlin-founded online payment specialist, from the Otto Group for an undisclosed sum, marking the second acquisition in their collaborative buy-and-build strategy in German payments.
- • Ratepay will be integrated into Concardis, the Eschborn-based payment service provider acquired by the same investor consortium in January 2017, while maintaining its independent brand and operations within the Concardis Group.
- • Ratepay specializes in invoice-based payment processing for e-commerce merchants, offering open invoices, installments, direct debit, and pre-payment options, alongside back-office services including purchaser risk checks and debtor management.
- • The acquisition positions Concardis to become a comprehensive payment champion in the DACH region (Germany, Austria, Switzerland) by combining complementary service offerings and expanding product portfolio depth.
- • Advent and Bain Capital plan to maintain close operational cooperation with the Otto Group going forward, particularly in developing innovative e-commerce payment solutions.
Summary
Advent International and Bain Capital Private Equity have signed an agreement to acquire Ratepay GmbH, the online payment services division of the Otto Group, as announced on April 3, 2017. The transaction price was not disclosed. This acquisition represents the second major payment sector investment for the Advent-Bain Capital partnership, following their January 2017 acquisition of Concardis, a leading German payment service provider. The strategic sequencing reflects a deliberate buy-and-build approach to consolidate the fragmented German payments market.
Ratepay, founded in Berlin in 2009, provides payment processing services tailored for online retailers. The company specializes in invoice-based payment methods including open invoices, installments, direct debit, and pre-payment options. Beyond payment processing, Ratepay handles critical back-office functions for merchants such as purchaser risk assessment and debtor management—services that reduce operational friction for e-commerce platforms. This comprehensive service offering positions the company as a differentiated player in the market segment.
Upon closing (pending completion of the Concardis acquisition), Ratepay will be integrated into the Concardis Group but will retain its brand identity and operate as an independent company within the larger platform. This structure preserves Ratepay's market recognition while enabling operational synergies and cross-selling opportunities across the combined entity. Christophe Jacobs van Merlen, Managing Director at Bain Capital Private Equity, characterized Ratepay as "unquestionably one of the best companies in its market segment" and noted that the acquisition broadens Concardis' product portfolio while capturing additional commercial expertise for future growth.
Jeff Paduch, Managing Director at Advent International, framed the transaction as a pivotal step in expanding Concardis into a "payment champion in the DACH region." The investors intend to maintain collaborative momentum with the Otto Group, particularly in developing next-generation e-commerce payment solutions. This partnership approach suggests that the Otto Group's retained stake or operational relationship will support continued innovation rather than represent a purely financial divestment. The combined platform—merging Concardis' broad payment processing capabilities with Ratepay's specialized invoice and installment expertise—creates a more vertically integrated competitor in European retail payments.
Ratepay, founded in Berlin in 2009, provides payment processing services tailored for online retailers. The company specializes in invoice-based payment methods including open invoices, installments, direct debit, and pre-payment options. Beyond payment processing, Ratepay handles critical back-office functions for merchants such as purchaser risk assessment and debtor management—services that reduce operational friction for e-commerce platforms. This comprehensive service offering positions the company as a differentiated player in the market segment.
Upon closing (pending completion of the Concardis acquisition), Ratepay will be integrated into the Concardis Group but will retain its brand identity and operate as an independent company within the larger platform. This structure preserves Ratepay's market recognition while enabling operational synergies and cross-selling opportunities across the combined entity. Christophe Jacobs van Merlen, Managing Director at Bain Capital Private Equity, characterized Ratepay as "unquestionably one of the best companies in its market segment" and noted that the acquisition broadens Concardis' product portfolio while capturing additional commercial expertise for future growth.
Jeff Paduch, Managing Director at Advent International, framed the transaction as a pivotal step in expanding Concardis into a "payment champion in the DACH region." The investors intend to maintain collaborative momentum with the Otto Group, particularly in developing next-generation e-commerce payment solutions. This partnership approach suggests that the Otto Group's retained stake or operational relationship will support continued innovation rather than represent a purely financial divestment. The combined platform—merging Concardis' broad payment processing capabilities with Ratepay's specialized invoice and installment expertise—creates a more vertically integrated competitor in European retail payments.
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