First Data

History

2019: Fiserv purchased First Data for 22 billion

On January 16, 2018 it was announced large merge in the market of financial technologies. Fiserv purchases First Data for $22 billion. The Reuters agency calls the largest the transaction which will be completely paid with actions of the buyer in the history in the fast-growing market of digital payments.

Under the terms of the agreement, security holders of First Data  will receive 0.303 stocks of Fiserv for each action. First Data was estimated 30% more expensively in comparison with the market value of the company to the declaration of its sale.

Megamerge in the financial technical-market: Fiserv purchased First Data for $22 billion

Fiserv reported that this purchase will allow the company to offer full range of services to the financial sector, such as registration of new clients and processing of physical or digital payments.

According to the president and the CEO of Fiserv Jeffery Yabuki, the transaction integrates "the biggest, extensive and best processor of card payments" with experience of his company in other payment areas, such as bank transfers.

After a merge design shareholders of Fiserv will possess 57% of the united company, and the rest — to shareholders of First Data.  It is going to close the transaction in the second half of 2019.

After that Jeffrey Yabuki will become the CEO and the chairman of the board of directors of the united company. The chief executive officer and the head of the Council of directors of First Data  Frank Bisignano will become the president and the chief operating officer and also will be a part of Board of Directors of the new company.

The managing partner of Hampleton Partners Joe Gudson, commenting on consolidation of Fiserv and First Data, noted that now the companies in the financial technical-sector pursue now larger and more target investments which will help to rationalize work of auxiliary services, to improve service quality of digital clients and to reduce costs.^[1]

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