Wirecard Card Solutions Limited today announces the signing of an asset purchase agreement with PayrNet Limited, a subsidiary of banking-as-a-service platform Railsbank, to sell its card technology and associated assets in the UK and to effect the transfer of client relationships and certain employees. This follows the signing of a term sheet and a productive meeting with Wirecard Card Solutions’ programme managers last month. It is expected that the asset purchase agreement will complete before  the end of 2020.

The signing of the agreement with Railsbank is a significant step in Wirecard Card Solutions’ plan for the orderly and solvent wind-down of the business.

Tom Jennings, Managing Director, Wirecard Card Solutions, said: “Our main priority has always been to ensure that our customers, programme managers, and team members can have a seamless transition to a new provider. We are confident that entering into the agreement with Railsbank today is a significant step towards that. We continue to pursue our plan for a solvent wind-down of the business.”

Nigel Verdon, co-founder and CEO of Railsbank, said: “This is a huge step forward for everyone. The Wirecard team has been very supportive and the Railsbank team has been working closely with all key parties, including both card schemes and a transparent dialogue with programme managers. Our goal is to deliver an uninterrupted service for the programme managers and the cardholders. We have already successfully migrated a number of clients and have everything in place for a phased and controlled migration at scale. This is, no doubt, welcome news for our industry.”

Wirecard Card Solutions Limited is a wholly owned subsidiary of Wirecard Acquiring & Issuing GmbH and part of the Wirecard AG group. The parent company will continue to retain its interest in the shares of Wirecard Card Solutions Limited.