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‘Two bids have been tabled for French payments processor Ingenico’
Posted on Thursday, 11 October 2018 13:41
Takeover activity in the online payments sector has been increasing significantly as of late, with the latest target expected to be France-based Ingenico, which confirmed it has received several approaches from interest parties recently.
Media reports in the last 24 hours picked up on two of the offers.
Bloomberg was first to cite people familiar with the matter as saying Natixis, the owner of Natixis Payment Solutions, is among those exploring a combination with Ingenico.
Following the article, the French bank confirmed it has been involved in preliminary talks with the firm.
This came as both Bloomberg and Reuters, reporting on information received by sources close to the situation, added Paris-based prepaid vouchers group Edenred may also vie for the target.
Ingenico has confirmed it has received expressions of interest but has not named any potential suitors at this time.
The group did comment that it will launch a review of options but does not intend to make a further statement on the matter until a decision is made.
One insider told Reuters that letters of interest were submitted in early summer and added while Natixis has been in talks with Ingenico, Edenred is yet to discuss its proposal with the group.
According to a second source cited by the news provider, a bidding war between the two is expected.
Bloomberg observed that Ingenico, also headquartered in Paris, is billed as one of a few large firms to remain independent in the rapidly consolidating payments market.
One impacting deal signed off during the calendar year so far is Atos’ Worldline buying SIX Group’s payment unit for EUR 2.30 billion in May.
Interestingly, the same acquiror was once rumoured be interested in Ingenico.
However, at the time in March 2017, Reuters cited a spokesman for Atos as saying Worldline was not making an offer, for the French company, which was believed to be worth between EUR 7.50 billion and EUR 8.00 billion.
Ingenico has a market capitalisation of about EUR 4.26 billion, with shares increasing 7.3 per cent to EUR 67.52 at 14:22 today after closing at EUR 62.92 prior to the reports and the public statement yesterday.
This is not the first-time interest has been shown in the company this year. In June, Bloomberg cited people close to the matter as saying private equity firms such as CVC Capital Partners, Hellman & Friedman and Bain Capital are weighing a takeover.
In a deal of its own, Ingenico paid EUR 1.50 billion for Swedish online fast and secure payments group Bambora Top in November last year.
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