Fiserv acquiring First Data in $22 billion stock deal
Financial technology provider Fiserv has announced it is buying payment processor
in a $22 billion deal, making it one of the largest acquisitions in the financial technology sector.
The all-stock deal is at a premium of nearly 30 percent over First Data's closing price on Tuesday.
Fiserv shareholders will own 57.5 percent of the combined company and First Data shareholders will own 42.5 percent. Fiserv offered 0.303 of its shares for each First Data share.
Fiserv Chief Executive Officer Jeffery Yabuki will become CEO and chairman of the combined company.
After the deal closes in the second half of 2019, the combined company's adjusted earnings per share is expected increase by more than 20 percent in the first full year, the companies said.
First Data employees approximately 5,000 people in the metro.