Dutch fintech Adyen will acquire German loyalty platform Talon.One in a €750 million ($876 million) cash deal that’s expected to close in the second half of 2026, the companies announced last week.

The transaction fills in a gray area in Adyen’s payment flow, allowing the fintech to connect online and in-store shopper interactions and adjust data in real time.

That means Adyen’s merchant partners will be able to use Talon.One’s capabilities to establish a consistent customer identity across channels and apply it midstream so promotions and pricing can be adjusted in the shopper’s cart, based on who the consumer is, the companies said.

That will let merchants shape and better define metrics such as conversion, fraud and customer lifetime value, the companies said, adding that the deal could bolster customer retention and improve pricing, inventory allocation and revenue performance.

“Our merchants ask us every day how they can better connect their online and in-store customer data and act on that in real time,” Ingo Uytdehaage, Adyen’s co-CEO, said in a statement. “Many have tried to build a solution themselves but struggle to turn insights into action. With Talon.One, a merchant can recognize a shopper and apply a relevant offer instantly, before the payment is completed, ultimately driving higher revenue.”

Adding Talon.One is expected to give Adyen an extra €60 million in annual recurring revenue by the end of this year, the companies said.

Christoph Gerber and Sebastian Haas, Talon.One's co-founders, will reinvest a “meaningful portion” of their proceeds in newly issued Adyen shares as part of the deal, the companies said.

“Joining Adyen allows us to embed real-time decisioning at the core of every transaction,” Gerber and Haas said in a statement. “Together, we enable merchants to connect customer identity with pricing and promotions in real time, in-store and online, driving better outcomes for our customers.”

Berlin-based Talon.One said it counts more than 300 global merchants among its clients.

Adyen “has historically shied away from doing deals, and we think this is a positive as it allows for faster product-to-market capabilities than building internally,” Keefe Bruyette & Woods analyst Sanjay Sakhrani said in a research note. 

“This acquisition will broaden Adyen's role beyond payments optimization and processing to enabling merchants to maximize their customer life-time value,” Sakhrani said.

Adyen is set to report its quarterly earnings May 6 and estimates it will disclose net revenue growth of roughly 20% compared to a comparable period last year.