Updates with chairman’s comment in sixth paragraph. Global Payments Inc. is nearing an all-stock deal to buy Total System Services Inc. for about $20 billion, according to a person familiar with the … Global Payments ve Total System Services birleşme kararı aldılar. In both prior instances, the companies involved talked about the technological change the industry was seeing as an impetus for their deals. He is most familiar with the fintech and payments industry and devotes much of his writing to covering these two sectors. This combination creates more efficient payments for businesses and financial institutions by enabling faster transactions, higher authorization rates, quicker settlements and better fraud detection. Fiserv Inc. announced a $22 billion takeover of First Data Corp. in January, and rival Fidelity National Information Services Inc. agreed to buy Worldpay Inc. just two months later for $34 billion. We just felt like it made a lot of sense to control our own destiny and pick our dance partner.”. Global Payments ve Total System Services birleşiyor Dünyanın önde gelen ödeme teknolojisi şirketleri Global Payments ve Total System Services birleşme kararı aldılar. Global Payments and Total System Services said they expect to extract about $300 million in annual cost savings, and generate $8.6 billion in annual adjusted net revenue and $3.5 billion in adjusted EBITDA. Global Payments is buying Total System Services in an all-stock deal valued at $21.5 billion, the third major acquisition in the payment processing sector this … Total System Services stock rises after Bloomberg reports of merger talks with Global Payments Shares of Total System Services Inc. are up more than 6% in premarket trading Friday after Bloomberg reported that the company has engaged in talks with Global Payments … Cumulative Growth of a $10,000 Investment in Stock Advisor, Global Payments Acquires Total System Services: Everything Investors Need to Know @themotleyfool #stocks $GPN $TSS $FIS $FISV $SQ, Why Global Payments Stock Fell 11.2% Last Month, Total System Services Inc (TSS) Q3 2020 Earnings Call Transcript, Total System Services Inc (TSS) Q2 2020 Earnings Call Transcript, Global Payments (GPN) Q1 2020 Earnings Call Transcript, Copyright, Trademark and Patent Information. In the case of Global Payments, Sloan sees the company as a coconspirator in bringing technological disruption to the payments industry, with the TSYS deal being a part of the company's attack, not a defensive reaction to change. And what do you do where Square has a growing -- a rapidly growing point-of-sale lending business? Global Payments provides payment processing services to merchants, allowing them to accept credit and debit cards, along with other payment types (this role is known as a merchant acquirer). Returns as of 01/14/2021. Bready added, however, that there was also the matter of cross-selling each company's strengths into the other's merchant base: But I also don't want to lose sight to maybe the smaller, more tactical opportunities that exist to cross-sell products and solutions across our existing book of SMB [small and medium businesses] customers ... Our ability to sell complementary products that we each have strength in across those base of business customers today is very exciting. Those are small-ticket items each individually. The merger is expected to create a more holistic company that handles both sides -- the merchant's and the bank's -- of every card payment transaction. Global Payments Acquires Total System Services: Everything Investors Need to Know A third industry-shaping megamerger is announced in the payments … Fiserv CEO Jeffery Yabuki, when talking about the new company's priorities, said: I mean, a lot of banks, especially in the community spaces, are worried about companies like Square. View Now. He could be right. How Carrefour Brasil Confronted Coronavirus Challenges. Today, you can walk into a small merchant ... and using your phone, can underwrite that merchant, you can offer payroll services today. Most of these opportunities will come from leveraging TSYS's relationships with banks, especially those in foreign markets, to create joint ventures or use as referral partners to capture additional merchant-acquiring business. Fidelity National CEO Gary Norcross talked about the disruption the payments industry was seeing: I mean, there's a lot of innovation going on. Dünyanın önde gelen ödeme teknolojisi şirketleri Global Payments ve Total System Services birleşme kararı aldılar. Image source: Global Payments/Total System Services May 28 investor presentation. Atlanta-based Global Payments, on the other hand, is the country’s fifth-biggest merchant acquirer, helping businesses handle credit- and debit-card payments. Total System Services helps banks manage their credit and debit card portfolios for everything fro m card authorisations to detecting fraud and calculating rewards. Total System CEO Troy Woods will become chairman of the combined company, 52% of which will be owned by Global Payments shareholders, while Total System investors will own 48%. This essentially makes Global Payments a payments ecosystem, not just a provider of a commoditized payment processing service. Sloan, who will lead the combined company, said Global Payments and Total System had talked about combining a number of times over the past decade. In return, they receive a percentage of the transaction value (usually about 1-2% for credit cards). Shares in Total System Services Inc. rose about 4% in premarket trading and shares of Global Payments Inc. fell by about the same. Global Payments has inked a deal to acquire Total System Services (TSYS) in a $21.5 billion deal. Total System shares rose 6.9% to $121.24 at 10:31 a.m. in New York. CNBC'nin haberine göre birleşme kararı bu sabah kamuoyuna duyurulacak. Upon completion of the merger, Global Payments shareholders will own about 52% of the newly combined company and TSYS shareholders the remaining 48%. Under terms of the arrangement, Total System Services shareholders will receive 0.8101 shares of Global Payments for every share. TSYS shareholders will own 48% of the combined company. When Brazil's government deployed financial assistance during the pandemic, thousands of people with no banking access were left without help. Global Payments and Total System Services described the deal as a "merger of equals." Global Payments Inc. agreed to buy Total System Services Inc. in a deal valued at $21.5 billion, the payment industry’s third mega-merger of the year. The Columbus, Georgia-based firm is the country’s largest provider of such services, managing about 40% of Visa Inc. and Mastercard Inc. domestic accounts last year. Global Payments is based in Atlanta and TSYS is based in Columbus, Georgia. With 100% focus on payments, we bring unmatched reach and extensive scale to help you grow your business with confidence. The all-stock deal values Total System Services, or TSYS, at $119.86 a share, 20% more than its $99.62 closing price on May 23, before Bloomberg first reported deal discussions with Global Payments. For the time being, at least, both companies' headquarters, about 100 miles apart in Georgia, will remain in operation. . The company will maintain dual headquarters. Global Payments primarily facilitates payment processing for merchants, while Total System Services, commonly referred to as TSYS, chiefly handles payment processing for card-issuing financial institutions. Payment processing until recently was a predictable, stodgy business. Shares of Columbus, Georgia-based Total System Services, commonly known as … Bready said the two companies have areas where there is "significant overlap," creating opportunities to cut costs with little risk. Global Payments and Total Systems Services, US payment services, concluded a merger agreement. Global Payments shareholders will hold 52% of the combined company, and CEO Jeff Sloan will still hold the position after the merger is finalized. He expects the company to recognize its annualized cost savings goal of $300 million in three years. For Total System Services (TSYS) and Global Payments, it’s official. The combined company will have a worldwide customer base of 3.5 million merchants, 1,300 financial institutions, and 600 million cardholders, and will facilitate approximately $50 billion of transactions per year. If it is finalized, it will be the third-largest fintech deal of all time, according to S&P Global Market Intelligence. The crazy thing is that three of the largest four such deals have taken place in the first half of 2019. “If you think about the payments world, really Global Payments and TSYS were the last two large, independent payment players. Habere göre 40 milyar dolar büyüklüğe ulaşacak yeni Şirket'i Global Payments'ın CEO'su Jeffrey Sloan yönetecek. Wachtell, Lipton, Rosen & Katz is providing legal advice for Global Payments, while King & Spalding is helping Total System. Shares in Total System Services Inc. rose about 4% in premarket trading and shares of Global Payments Inc. fell by about the same. Have a confidential tip for our reporters? Global Payments Inc. GPN, a provider of payments technology and software solutions to customers globally, has completed its earlier announced acquisition of Total System Services, Inc. Global Payments has successfully pursued a strategy of embedding its payment solutions into software vertical stacks for niche industries via acquisitions, partnerships, and internal development. 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