Barclays has closed the sale of its Barclaycard consumer payments business in Portugal and Spain to WiZink Bank.
Formerly known as Bancopopular-e, WiZink Bank operates as a Spanish online lender, in which Varde Partners owns 51% stake while remaining 49% is controlled by Banco Popular Espanol.
The card business includes nearly £1.2bn of assets and was sold at a small premium to gross receivables, with customers and employees transferring to WiZink.
The disposal of card business will enable the bank to slash its risk weighted assets of £1bn and a reduction in non-core costs.
Barclays Group CEO Jes Staley said: “During 2016 we have made significant headway in the reduction of our Non-Core unit, a key component of our Group strategy. We have completed the sale of our risk analytics and index business, Portuguese and Italian retail banks, offshore trusts business and our UK precious metals storage facilities.
“We have also entered into exclusive discussions for the potential sale of our French retail bank, and agreed to sell our Asian Wealth and Egyptian retail banking businesses.
“The Barclaycard consumer payments business in Portugal and Spain is a good business with a highly talented and dedicated workforce but no longer fits with our strategic ambitions. I am sure it will continue to thrive as part of WiZink.”
Initially, the sale was announced in April 2016 and it concluded after receiving regulatory and other applicable approvals.