With over £9.89bn in pro forma revenue, the combined company could lead in terms of technology and solutions for merchants, banks and capital markets
Image: FIS closes Worldpay acquisition. Photo: Courtesy of bertholdbrodersen/Pixabay.
Fidelity National Information Services (FIS) has completed its $43bn (£35.4bn) acquisition of London-based payment processing company Worldpay.
FIS announced the deal in March this year and said that the combined company will have more than $12bn (£9.89bn) in pro forma revenue and over 55,000 employees.
With this acquisition, FIS is positioned to take a leading position in technology and solutions for merchants, banks and capital markets.
FIS said that the deal can enhance its acquiring and payment offerings, while also increasing Worldpay’s distribution footprint, making it easier to enter new geographies.
As a global merchant acquirer, Worldpay serves omni-commerce and provides solutions for merchants, businesses and financial institutions. It processes more than 40 billion transactions annually, supporting more than 300 payment types across more than 120 currencies.
FIS and Worldpay complement each other
The two companies complement each other in terms of solutions and services encompassing financial institution issuer services, network and merchant services, including a leading position in eCommerce, and loyalty and fraud solutions benefiting consumers and businesses.
The omni-channel payment and multi-currency capabilities, robust risk and fraud solutions and advanced data analytics will benefit clients of the combined company.
FIS chairman, president and CEO Gary Norcross said: “This is an exciting day for FIS and Worldpay, and for the industry as a whole. This transformative combination significantly enhances the scale, portfolio and global footprint of FIS to help our clients capitalize on growth opportunities at a time of rapid marketplace change.
“I would like to extend a warm welcome to Worldpay employees, clients and investors to the FIS family as we work together to bring the benefits to businesses and communities around the world. I couldn’t be more optimistic about the future of this company and the innovations and advancements we can bring to advance the way the world pays, banks and invests.”
As per the terms of the deal, Worldpay shareholders will receive 0.9287 FIS shares and $11 (£9) in cash for each share of the company, which totals to $43bn.
After the closure of the deal, FIS shareholders will own about 53% and Worldpay shareholders will own about 47% of the combined company. FIS will also assume Worldpay debt and expects to refinance it.
Several executives at Worldpay will assume key leadership positions at FIS. Worldpay president and chief operating officer Mark Heimbouch has been appointed as FIS merchant solutions division president. The company’s chief financial officer Stephanie Ferris has been appointed as enterprise-wide chief operating officer at FIS.
Worldpay executive chairman and CEO Charles Drucker will join FIS board of directors as vice chairman. Other key leaders from the company will continue working for the combined company.