On Monday Neovia Financial announced an agreement to buy out IDT Corporation’s European Prepaid Payment Services for approximately £10 million.
According to the company, which formerly traded as Neteller, the merger will create one of Europe’s largest independent prepaid debit card businesses.
However, the acquisition is subject to approval from the Gibraltar Financial Services Commission and MasterCard. Neovia said it expects this to happen in early 2009.
“The acquisition of IDT Finance represents a major milestone in the development of our financial services offering to both our consumers and merchants and in our overall strategy to diversify our business,” said Ronald D. Martin, Neovia’s president and chief executive, in a prepared statement.