FIS rises on report it may sell a majority stake in Worldpay; analysts positive By Investing.com


© Reuters. FIS (FIS) rises on a report that it may sell a majority stake in Worldpay; The analyst is positive

Private equity (PE) firms, including Advent, are reported to be considering acquiring a majority stake in Worldpay from Fidelity National Information Services (NYSE: ), according to the Financial Times.

The report added that the valuation exceeds $15 billion. GTCR, a Chicago-based private equity firm, has also considered making a bid.

For Jefferies analysts, the potential deal is a “clear positive.”

Mizuho’s analysts also focused positively on the potential deal.

The deal “cleans up the old FIS, revives the story of a stable, high-margin, mid-single-digit farmer, reduces the burden of the stock-loss narrative, removes levers, and avoids assigning an episodic multiple to Worldpay amid 1-2% sales decline in 2023,” the analysts said in a note. .

“We expect a positive reaction from stocks.”

Shares of FIS are down 19% year-to-date through Friday’s close. The stock was up 6.1% in early trading on Monday.

AnalystsFISInvesting.comMajorityPositiveReportrisesSellstakeWorldpay
Comments (0)
Add Comment