Nets - established through a merger in 2010 of Danish PBS Holding A/S and Norwegian Nordito AS - says the acquisition will create a Nordic powerhouse capable of extending its reach across European payment markets.

In 2011, sales generated by cards under Luottokunta's Visa and MasterCard schemes totalled about EUR36 billion. The company, co-operatively owned by local banks and merchants, employs a staff of 500 from its headquarters in Helsinki.

Nets, which employs over 2200 people and has its registered office in Copenhagen, says that under the terms of the deal Luottokunta will change its name and become a fully integrated part of the Nets Group, while its offices will remain in Helsinki.

Mette Kamsvåg, CEO of Nets, comments: "The acquisition of Luottokunta brings Nets vital additional competencies that will strengthen our position not only in the Finnish market but also in Europe as a whole. The acquisition will make us an even stronger partner for our Nordic customers in supporting their business both nationally and internationally. We need this strength to be able to accompany our customers on their journey into new markets."

The deal is subject to approval from the Finnish Financial Supervisory Authority and by the general meeting of Nets. Financial terms were not disclosed.