Vantiv clinches £9bn deal to merger with Worldpay
The union has been sealed after the two rivals announced an initial agreement last month.
US payment processing specialist Vantiv has finalised a £9.3bn (US$12.1bn, €10.4bn) deal to merge with UK rival Worldpay, following an initial agreement last month to a union between the two. Vantiv shareholders will own a majority 57% of the combined group, with the companying pay 397p for each share in Worldpay, or £8bn, plus £1.3bn to cover debts. Worldpay investors will hold the remaining 43%.
The new group’s global and corporate office will be in Cincinnati, Ohio, while London will become its “international headquarters”. Vantiv’s CEO since 2009, Charles Drucker, will be executive chairman and joint chief executive. Worldpay’s CEO, Philip Jansen, will report to him as co-chief executive and Vantiv’s chief financial officer (CFO) Stephanie Ferris will hold the same role post-merger
“The combination of scale and presence the merger will bring is an exciting step in the creation of a truly global leader in payments,” said Worldpay. Vantiv is targeting cost synergies of US$200m (£153.7m) and Jansen confirmed that the merger would lead to job cuts among the combined workforce of around 8,500. The majority of the losses are likely to come from the US, where the companies have targeted 63% of cost savings.