Wirecard moves up to the DAX
Munich region again boasts seven DAX-listed companies
(Sept 6, 2018) This fall, the Munich region once again has seven companies listed in the DAX 30 index. Payment service provider Wirecard is poised to join Germany's biggest publicly traded companies in the countries leading share index, taking the place of Commerzbank. Founded in 1999, the fintech is headquartered in Aschheim in the Munich rural district.
First fintech in the DAX 30
Launched as a startup in Munich in 1999, Wirecard today employs 4,500 people around the globe and reported annual revenues of EUR 307 million in 2016. Its rise to the DAX index is also a clear indication of just how far digitization has already transformed the finance industry: Wirecard will be the very first genuine Munich-based fintech – an IT-driven financial service company – to join the ranks of the country's biggest players.
First innovation, then growth
Wirecard started out by providing IT solutions for secure electronic payment transactions over the Internet. In the early phase, it took about three years before demand for this mode of payment began to grow on the market. In 2006, the company grafted in its own bank with a German banking license. Initial, forceful growth in Southeast Asia was followed in recent years by further acquisitions in North and South America to continue Wirecard's international expansion. Crucial factors in the company's elevation to the DAX 30 included its share's turnover on the stock exchange and its market capitalization, which exceeds EUR 24 billion.
Around 1,200 people currently work for Wirecard in Aschheim, to the northeast of Munich. Markus Braun took over as CEO in 2002. The company is still growing very fast and is constantly enlarging the workforce at its headquarters.
Fintechs in Munich and the surrounding region
Wirecard's success comes as proof that the technology-oriented banking and insurance startup community in Munich is well and truly established. This evidence was further backed up by the international Genome Startup Ecosystem Report 2018, which identified fintechs as one of the three most important segments of Munich's startup landscape. Between 2012 and 2017, around eleven percent of total venture capital investments were thus channeled into financial technology.