Deals

Cambridge-based payments insights firm Bango has acquired the global payments business of Japanese mobile phone network operator NTT DOCOMO for €4m (£3.4m).

The ground-breaking deal brings an additional $3.5b per year of end user spend onto the Bango platform.

Revenue contribution from the acquisition is expected to be $5m in 2022 and $16m in 2023.

In addition, Bango has signed a long-term platform deal with NTT DOCOMO to provide payment services in Japan for the world’s largest merchants.

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Bango’s technology helps the likes of Amazon, Google and Microsoft to acquire more paying users.

DOCOMO Digital provides payment services to app stores and digital merchants worldwide and the acquisition significantly accelerates the Bango strategy for growth by expanding global partnerships with major customers, doubling the number of Google Play and Amazon routes.

It will also consolidate Bango’s position as a leading payments platform for global merchants including Netflix, Britbox and YouTube and bringing new merchants including Tidal, Discovery, Paramount+ and Jetstar.

The £3.4m (€4m) acquisition is being funded using existing Bango cash.

Bango CEO, Paul Larbey, said: “Acquiring DOCOMO Digital strengthens our position as a world leader in data-driven commerce.

“The decision by NTT DOCOMO to transfer its global payments business to Bango is a major endorsement of our technology in the fast-growing digital economy.

“Through the Bango Platform, telcos can leverage the universal appeal of the world’s biggest online brands and digital merchants can immediately reach new customers. Both will benefit from data-driven insights, giving consumers greater access to goods and digital services.”

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Bango executive chair, Ray Anderson, said: “After many years competing with DOCOMO Digital, we know the business and the team well.

“This acquisition of DOCOMO Digital is a key, strategic deal for Bango and solidifies our leadership in the market.

“With the support of NTT DOCOMO, DOCOMO Digital developed relationships with high-quality operator and merchant customers and we are excited to bring them the benefits of the Bango platform.

“These new merchants and operators will also offer new opportunities for everyone already connected to Bango. In addition, the acquisition brings the advantages of a partnership with NTT DOCOMO, further supporting our global growth.”

NTT DOCOMO general manager of Wallet Service Department, Tsutomu Tahara, said: “Bango is uniquely placed with market leading technology that will benefit our customers in Japan and our merchant partners worldwide. Bango’s role as an independent platform and trusted partner presents a great opportunity to accelerate growth of the global payments ecosystem.”

Secretary of State for Business, Energy and Industrial Strategy Kwasi Kwarteng said: “This acquisition only further builds on the UK’s reputation as a global centre for FinTech, and we will continue to create an environment where innovative businesses can expand at scale, boosting jobs and our economy.”