3.2.5. Acquisition by Discover Card
In April 2008, Discover Card and Citibank announced that Discover would purchase the Diners Club Network from Citi for $165 million. In May 2008, the U.S. approved the transaction. Discover stated that the Diners Club network, which is a major network outside North America will be merged with the Discover Network which is a major network in North America, creating an international network for Discover Cards and Diners Club cards. Diners Club cards will continue to be issued by Diners Club International licensees, including Citibank. Discover Bank has no plans to issue Diners Club branded cards. Discover purchased the network, but not the licensees issuing the cards. The deal was completed on July 1, 2008.
Current Diners Club cardholders don't have to do a thing - they can continue to use their cards and will receive the same benefits they already have. Additionally, Citi will remain a significant long-term issuer on the Diners Club network as part of the transaction.
