Financial services specialist Wells Fargo and Fiserv are ending their merchant acquiring joint venture in April next year, Fiserv confirmed on Wednesday.

The joint venture, Wells Fargo Merchant Services (WFMS), is currently owned 40 per cent by a wholly owned subsidiary of Fiserv and 60 per cent by Wells Fargo Bank, National Association, Fiserv reported in a filing with the Securities and Exchange Commission.

In the filing, Fiserv reported expectations to receive a cash payment or assets equal to the value of its share in WFMS, estimated to be between $400 million and $600 million.

“In connection with the expiration of the joint venture, the company and Wells Fargo entered into a multi-year agreement for the company to provide processing for current and future merchant clients as well as other services to Wells Fargo’s merchant business,” Fiserv said in the filing.

WFMS handles the management and supervision of Wells Fargo's commercial services business and its joint venture with Fiserv. Fiserv acquired its stake in the business through a 2019 merger with First Data Corp.

Over the past year, Fiserv has rolled out new products and partnerships.

On 19 September, it was announced that the company had entered into a partnership with Walmart to boost the retailer's pay-by-bank proposition, allowing customers to see their purchases appear immediately in their bank account balance, while Walmart will receive the funds instantly.

In August, Fiserv and PayPal expanded their global strategic partnership to enable Fiserv customers to use PayPal, Venmo, and related payment services.

In June, Fiserv and Monex USA, a specialist in global payments, corporate FX, and currency risk hedging services, announced plans to integrate with Payments Exchange from Fiserv. This integration will allow financial institutions that utilise Payments Exchange to work directly with Monex USA as a foreign exchange partner to complete international wire transactions.

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