Worldline Expands Asian Footprint with New Singapore License

<p>Worldline
Group's wholly owned subsidiary, GCS APAC, has been granted a Major Payment
Institution license by the Monetary Authority of Singapore (MAS). This license
allows GCS APAC to provide domestic and cross-border money transfers and
merchant-acquiring services in Singapore.</p><p>Worldline's Singapore
Subsidiary Receives Major Payment License</p><p>The MAS
license positions <a href="https://www.financemagnates.com/tag/worldline/" target="_blank" rel="follow">Worldline </a>to expand its presence in Singapore and the broader
Asian markets. It also enables the company to bring its payment solutions to
local and international merchants operating in Singapore.</p><p>According
to Worldline, the license reflects its strategic push into fast-growing Asian
markets like Japan, South Korea, India and ASEAN countries. Over 85% of banks
in ASEAN already use Worldline's products.</p><blockquote><p lang="en" dir="ltr">We are delighted to announce that <a href="https://twitter.com/hashtag/Worldline?src=hash&amp;ref_src=twsrc%5Etfw">#Worldline</a> has been granted the Major Payment Institution licence by <a href="https://twitter.com/MAS_sg?ref_src=twsrc%5Etfw">@MAS_sg</a>, enabling us to expand our presence in one of Asia's most attractive markets while enhancing our offerings for merchants. More information: <a href="https://t.co/4QEIh92n9v">https://t.co/4QEIh92n9v</a> <a href="https://t.co/CZKtMEBiat">pic.twitter.com/CZKtMEBiat</a></p>— Worldline (@WorldlineGlobal) <a href="https://twitter.com/WorldlineGlobal/status/1734850414665687195?ref_src=twsrc%5Etfw">December 13, 2023</a></blockquote><p>The company
cited strong e-commerce growth projections for Singapore, with the market
expected to reach SGD29.4 billion by 2027. The rapid adoption of contactless
<a href="https://www.financemagnates.com/terms/p/payments/">payments</a> in the country drives this growth. It increased from 27.7 million in
2019 to 39.3 million in 2023, with the annual value of card transactions
estimated to exceed $107.3 billion this year.</p><p>“We are
committed to playing a pivotal role in our Asian markets that are so rapidly
gaining importance,” Beate Krugmann, the head of East &amp; Southeast Asia at
Worldline, said. "I am very proud we have now been granted our new license
from the Monetary Authority of Singapore."</p><p>Headquartered
in France, Worldline generated €4.4 billion <a href="https://www.financemagnates.com/fintech/worldline-ends-q4-solid-as-merchant-sevices-revenue-jumps-103/" target="_blank" rel="follow">in revenue in 2022</a>. It provides
payment services to merchants, banks and acquirers globally. Recently,
the company also received a payments license <a href="https://www.financemagnates.com/fintech/fca-greenlights-worldline-for-the-uk-fintech-expansion/" target="_blank" rel="follow">in the UK</a>.</p><p>Worldline Expands in Asia</p><p>The
announcement also reflects Worldline's expansion in other Asian countries. For
example, In Japan, where card payment volumes are anticipated to reach
approximately $750 billion in 2023, according to GlobalData, Worldline has
established a preferred partnership with Vesca, a local payment solutions and
network service provider. </p><p>Moving to
South Korea, e-commerce revenues are expected to hit $119 billion in 2023, with
a projected annual compound annual growth rate of 7.7% from 2023 to 2028,
culminating in an estimated market volume of $160 billion by 2027. Worldline
has recently expanded its geographical presence here, leveraging its understanding
of the local financial ecosystem and partnerships to aid international online
businesses in processing payments domestically. </p><p>In India,
Worldline has been developing a payment ecosystem for over 26 years. Its
Paytech solutions span the entire in-store and online payment chain,
partnering with over 30 major public and private sector banks. Its reach in the
country includes more than 1.5 million merchant touchpoints across over 5,000
towns and cities.</p><p>Market Valuation Challenges</p><p>The
European financial technology sector faces significant challenges, as
evidenced by Worldline's recent downturn. The company's announcement of <a href="https://www.financemagnates.com/fintech/the-wake-up-call-for-eu-fintechs-from-worldlines-38-billion-wipeout/" target="_blank" rel="follow">lowered
sales forecasts</a> triggered a substantial decrease in its stock value, resulting
in a loss of over half of its market capitalization. This reduction, amounting
to approximately €3.8 billion, has left Worldline with a nearly €2.7 billion
valuation. </p><p>This trend
isn't isolated to Worldline. CAB Payments Plc, a UK-based fintech firm, also
witnessed a severe 72% drop in its stock value following a downward revision of
its revenue expectations. Similarly, payment company <a href="https://www.financemagnates.com/fintech/the-24-hour-shock-how-adyens-valuation-dropped-by-20-billion-overnight/" target="_blank" rel="follow">Adyen NV experienced</a> a
market sell-off after announcing disappointing bi-annual results in August. </p>

This article was written by Damian Chmiel at www.financemagnates.com.