UK’s Worldpay says had takeover approaches from Vantiv, JPMorgan
Worldpay Group Plc, Britain’s largest payment processor, said on Tuesday that it had received separate takeover approaches from U.S. credit card technology firm Vantiv Inc and JPMorgan Chase Bank .
Worldpay, which sells technology to businesses so they can take payments via cards, online or on mobile devices, said the approaches were preliminary and there was no certainty any deal would be made.
Businesses which automate payments are becoming a popular takeover target with card companies, banks and technology firms all competing in the sector.
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Danish payment services company Nets A/S, said over the weekend that it had also been approached by potential buyers.
Worldpay’s shares rose sharply after it disclosed its takeover approaches, briefly hitting an all time high of 402 pence. At 0850 GMT the shares were trading at 362 pence, valuing the company at 6.43 billion pounds ($8.3 billion).
Analysts suggested other companies might now be interested in making a bid.
“We believe Worldpay is a unique asset and the current interest from two U.S. peers could also trigger the intention of parties like Google, Amazon, Apple,” a note from Mediobanca Securities said.
Vantiv and JP Morgan now have until August 18 to announce firm intentions to buy or else walk away. Neither company could be reached for comment in the U.S., which is marking the July 4 holiday.
Worldpay was spun out of British lender Royal Bank of Scotland to private equity firms Bain Capital and Advent International in 2010.
The buyout firms listed the company on the London Stock Exchange in late 2015, when it was valued at 4.8 billion pounds.
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