Worldline Buys Ingenico to Create EU’s Biggest Payments Company

Worldline, one of the world’s largest payments firms, has agreed to buy Ingenico, the French transactions company, for EUR 7.8 billion.

The transaction between Worldline and Ingenico, alongside Atos which is owned by Worldline, comes to together to create Europe’s largest payments company, and the fourth largest in the world.

Reports indicate the overall implied equity value of the buyout deal is EUR 7.8 billion (£6.6 billion), a 16% premium on the existing market capitalisation of Ingenico of around EUR 6.7 billion. The deal also serves to boost earnings per share in either firm and save the new firm around EUR 250 million by 2024.

Still awaiting regulatory approval, the transaction has not come as a surprise in the payments sector, and it should be expected to be finalised by the third quarter of 2020, by which Worldline shareholders will own a 65% majority stake in the new firm, and Ingenico shareholders would take away 35%.

Current Chairman and CEO of Worldline Gilles Grapinet will become solely the new company’s CEO, as Ingenico’s current Chairman Bernard Bourigeaud becomes the new entity’s non-executive chairman.

 

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