Solarisbank AG and Contis Group Ltd have announced that they have brought their previously formed partnership to completion. The firms have decided to enter into a definitive business combination agreement.
Six months after the signing of the agreement, the partnership has been approved by regulatory authorities such as the Federal Financial Supervisory Authority (BaFin), Bank of Lithuania and the UK’s Financial Conduct Authority (FCA).
Lee Johnstone, MD at Contis, stated:
“We are delighted to announce that Contis and Solarisbank will now operate as a joint entity, bringing an unrivalled Banking-as-a-Service offer to the European market. With our complementary product sets and geographical coverage, we’re proud to become a complete end-to-end one-stop shop for fintechs, banks and corporates embedding finance in their offer.”
“Together our services cover fiat and crypto assets, lending as well as payments, and card issuing and processing across every EEA geography. Both companies are passionate about innovation, which will continue to be a guiding principle as we plan our expansion beyond Europe.”
The combined business entity will reportedly be led by Solarisbank’s Chief Executive, Dr. Roland Folz. Founder and Executive Chair/CEO of Contis, fintech vet Peter Cox, has handed over the leadership role and transitions to his latest role as Senior Group Advisor and shareholder.
Lee Johnstone, CFO of Contis for nearly a decade, will be responsible for leading the firm as MD within the group which now has more than 700 workers at eight different locations across Europe and India. Total revenues from last year reached about €100 million, representing more than 90% YoY growth.
Thom Rasser, CFO at Solarisbank, remarked:
“2021 was an exceptional year for Solarisbank and Contis. We have seen accelerated growth in all areas and are proud to have become the largest Banking-as-a-Service platform in Europe; operating more than five million end customer accounts. With local branches in all major European markets, we offer unparalleled market coverage and a unique product offering. This is particularly evident in the satisfaction of end customers with our partners, who achieve top scores on various rating platforms. In order to sustain this high quality while growing at a fast pace, we will continue to invest significantly in our platform.”
Moving forward, Solarisbank and Contis plan to attain sustainable revenue growth in the range of 40 to 60%.
Solarisbank is also focused on getting IPO-ready from Q3 2022 onwards. This reportedly includes various measures like updating the organizational and management structure, updating to IFRS accounting standards, incorporating the latest ESG standards and enabling process optimization and making appropriate investments in compliance.
Roland Folz, CEO of Solarisbank, noted:
“It is our declared goal to become Europe’s core bank and the backbone for all customer-centric ecosystems that want to embed financial services seamlessly into their offerings. To provide our partners with a highly scalable and secure platform, we must achieve operational excellence at all levels. Which is why we constantly monitor, adapt and improve our processes and structures. We look forward to entering the next phase of our exciting growth story and are grateful for the trust placed in us by our customers, partners, employees and shareholders.”