The Heidelpay Group has agreed to buy the Paysafe Pay Later, the deferred payments arm of Paysafe Group, according to a press release.

Terms of the deal were not disclosed.

Paysafe Pay Later, which previously operated under the name Payolution, provided white-label invoice and installment payment solutions for online merchants and brick-and-mortar retailers, such as Decathlon, Teufel and Schuhcenter.de.

"Paysafe Pay Later is a great company with strong leadership and a talented, experienced team," Mirko Hullerman, founder and CEO of the Heidelpay Group, said in a company release. "They have built a deep customer base across the DACH region and are very experienced in developing pay later payment services."

Claire Gates, CEO of Paysafe Pay Later, and the entire team will join Heidelpay.

Philip McHugh, CEO of Paysafe, said the deal will allow it to focus on its core business of payment processing, digital wallets and e-cash.

The deal is expected to close by the third quarter, so the two companies will operate independently until then.