MasterCard Inc. said Tuesday that its European unit will merge operations with Europay France SAS on April 1.
The transaction "will enable French and international banks in France to benefit from a direct relationship with MasterCard Europe for payment services," the U.S. card network said. A new company is to be formed, it said, but gave no financial details.
MasterCard in Purchase, N.Y., bought Europay International SA in 2002. Europay France remained under the ownership of French financial institutions and has acted as a liaison between them and MasterCard.
Alfredo Gangotena, MasterCard's general manager for continental Europe, said in a press release that absorbing Europay France would be "essential to strengthening our direct presence in this market, and ensuring that French banks can have a single point of contact for their electronic payment needs."
MasterCard said the integration is timely given that the Single Euro Payments Area requires continent-spanning card systems by 2010.
