FIS Announces Sale of Worldpay Stake and Strategic Acquisition of Global Payments’ Issuer Solutions Business

  • Payments
  • 17.04.2025 02:05 pm

FIS® a global leader in financial technology, today announced it has entered into a definitive agreement to acquire 100% of Global Payments' (NYSE: GPN) Issuer Solutions business for an enterprise value of $13.5 billion, or a net purchase price of $12 billion including $1.5 billion of anticipated net present value of tax assets.

Concurrently, FIS has entered into a definitive agreement to sell its stake in Worldpay to Global Payments for $6.6 billion in pre-tax value. This transaction accelerates the monetization of the Company’s minority stake in Worldpay.

Issuer Solutions Strengthens FIS’ Position as Globally Scaled Fintech Leader to Large Financial Institutions

Issuer Solutions is a global market leader in credit processing, with a client presence in over 75 countries. The business processes more than 40 billion transactions annually and maintains strong partnerships with over 170 financial institutions and corporates.

“The acquisition of Issuer Solutions is a strategic and accretive transaction that will expand FIS’ payment product suite and deepen our relationships with financial institutions and corporate clients,” said Stephanie Ferris, Chief Executive Officer and President of FIS. “Issuer Solutions’ globally scaled credit processing capabilities are highly complementary to FIS’ established debit processing capabilities, strengthening our broader banking and capital markets offering.”

Ferris continued, “We are pleased to fully monetize our Worldpay stake at an attractive valuation. The transaction enhances FIS’ financial profile and replaces our non-cash generating minority stake in Worldpay with a growing stream of recurring high-margin revenues and cash flows.”

Issuer Solutions Offers Compelling Strategic and Financial Rationale

  • Highly Complementary to FIS’ Banking and Payments Business: The acquisition adds a strong product suite in credit processing, fraud, loyalty and other value-added services to FIS’ portfolio of debit processing, network services, payments processing, loyalty solutions and AR/AP banking services, creating a best-in-class end-to-end offering for financial institutions and corporates.
  • Significantly Expands Market Opportunity for Banking Segment: Issuer Solutions enables FIS to tap into a global issuer market opportunity of $28 billion, including the highly attractive $15 billion U.S. issuer market opportunity.
  • Strengthens Financial Profile: The acquisition is expected to be accretive to Adjusted EBITDA margins, Adjusted EPS and Adjusted Free Cash Flow. FIS expects to generate over $500 million in incremental Adjusted Free Cash Flow in the first 12 months after the closing of the transaction.
  • Delivers Robust Revenue & Cost Synergies: The acquisition is expected to deliver $45 million in incremental revenue synergies within three years, with over $125 million of revenue synergies longer-term, and more than $150 million in net EBITDA synergies within three years.

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