Fintech start-ups yapily announces its intention to acquire endAPI — the transaction is subject to regulatory approvals before closing. Both companies offer open banking solutions in Europe.

With this move, Yapily consolidates its position in Europe and develops its activity in Germany, more particularly. Terms of the deal are not disclosed, but the company says it is a “multi-million” transaction.

Based in the UK, Yapily offers a single, unified open banking API for interacting with bank accounts. Contrary to Tink or TrueLayer, Yapily offers a low-level solution without any front-end interface. Developers should code their own bank login flow. The result is more control and no Yapily logo.

Due to European PSD2 regulations, banks must offer application programming interfaces (APIs) in order to work better with third-party services. Yapily has focused specifically on official API integrations and covers thousands of banks. It does not rely on screen scraping and private APIs.

Businesses can take advantage of open banking to check a bank account balance, retrieve the most recent transactions, and also initiate payments directly from a bank account.

FinAPI is also an open banking service provider. Originally from Munich, Germany, the company has been around since 2008 — Schufa has acquired a majority stake in finAPI in 2019. It offers an API with coverage in Germany, Austria, Czech Republic, Hungary, and Slovakia. Like Yapily, finAPI customers can obtain account information and initiate payments using an API.

In addition to these purely open banking products, finAPI also offers the possibility of verifying a customer’s age and identity. This can be useful to comply with KYC (“Know Your Customer”) regulations.

Yapily currently covers 16 European markets and the company claims to be the leader in the UK. But the startup is currently not active in the Czech Republic, Slovakia and Hungary. With today’s acquisition, the company expands into these three new markets and becomes the market leader in Germany.

As you can see, there is an overlap in product functionality between Yapily and finAPI. And the acquisition makes sense because the two companies did not start in the same market.

Yapily works with companies like American Express, Intuit QuickBooks, Moneyfarm, Volt, Vivid and BUX. FinAPI customers include ING, Datev, Swiss Life, ImmobilienScout24 and Finanzguru.

“This is an extremely exciting step for Yapily on our journey from disruptive startup to ambitious scale-up. Within three years of launch, we commercialized our platform, expanded our customer base and now have the largest open bank payment volumes in Europe. By working with finAPI, we can gain speed, agility and depth to accelerate innovation and shape the future of open finance in Europe and beyond,” said Yapily Founder and CEO Stefano Vaccino. in a press release.

When it comes to payments specifically, Yapily and finAPI have processed a combined total of $39.5 billion in payment volumes over the past 12 months. Essentially, Yapily will double its customer base with this acquisition.