Amadeus applies for license to operate as an e-money institution

Amadeus has applied for a license to operate as an electronic money institution. This step, together with the creation of the subsidiary Outpayce, and the investment in its technology platform, underscores the company's commitment to offering a seamless and connected payment experience throughout the entire journey.

The integration of B2B payments in the travel ecosystem is a key differentiator. When providing services directly to travelers, travel companies strive to offer simple, flexible and secure payment methods at all stages of the journey.

Amadeus has applied for a license from the Banco de Espa Banco de Espa a to operate as an electronic money institution. Such license will allow the company to provide regulated services in Spain and, subsequently, in the European Economic Area.

Companies with an electronic money license can provide both payment services such as accepting funds from customers, issuing prepaid debit cards or offering funds transfers in a payment account, among others.

As part of this strategy, Amadeus' existing payments business unit will become Outpayce, a wholly owned subsidiary of Amadeus, whose assets and employees will be transferred to the new entity effective January 1, 2023.

Outpayce's objective will be to strengthen its existing payments offering, as well as to develop an integrated payments environment that travel companies can connect to in order to access the latest fintech innovations.

As an Amadeus Group company, Outpayce will continue to support the payment needs of airlines, travel sellers and corporations, with the goal of improving the payment process for travelers and customers in B2B transactions.

The growth plans include several key elements:

Open Payments Platform

The travel industry is experiencing an explosion of innovation as new services such as the multi-currency pricing, Buy Now Pay Later and Embedded Finance help travel companies offer the payment facilities travelers expect.

Current payment solutions incorporate open API-based development environments that encourage innovation in the travel industry by making it easier for third-party payment and fintech companies to serve the industry.

Airlines, hotels and travel sellers using the platform will be able to access a wide selection of Amadeus and third-party payment services through a single connection.

The current platform offers services from trusted partners such as Citi, Mastercard and Paypal, among many others, and Amadeus will continue to work to expand this partner network.

Electronic money licensing and creation of Outpayce

The first regulated service Outpayce will offer

once licensed will be the issuance of virtual prepaid cards within its B2B Wallet solution, which travel agencies use to pay travel suppliers such as airlines and hotels.

Outpayce's issuance of cards along with a wide range of options from other issuer partners will provide travel agencies with greater choice and a better payment experience.

New Hires

Outpayce plans to invest in its growth by hiring additional payment experts and technology engineers globally in the coming years to support its product development and business expansion plans.

David Doctor 

will step down as executive vice president of payments at Amadeus to lead Outpayce as chief executive officer (CEO) as of January 1, 2023.