20 June 2018
Visit www.gemalto.com

SIX Payments prepares to join M&A deal frenzy

22 September 2017  |  6896 views  |  0 cash

SIX Group has reportedly hired JPMorgan to run the rule over its payments services unit as it looks to capitalise on the M&A deal frenzy in the payments processing market.

The Swiss market operator, which banked earnings of Sfr145 million from its payments business last year, has asked JPMorgan to review its options, including a potential $2.1 billion sale, according to unidentified sources cited by Reuters.

The newswire says there are a number of other options on the table, including a stock market listing, and the sale of a minority stake.

The move comes amid a surge of interest in the money-generating potential of Europe's largest payment processing units. Like other domestic market operators, SIX is responding to ongoing disruption in the payments business as new competitors move in and consumers switch in their droves to online and mobile payments.

Recent big ticket deals in the sector include MsterCard's buy out of VocaLink last year, the EUR700 million takeover of Germany's Concardis by Bain and Advent International in January, and Vantiv's acquisition of UK-based Worldpay for $10.35bn that was finalised in August. Nordic payments processor Nets is also rumoured to be close to a private equity buy-out that would value the company at more than $5bn.

This summers, Portuguese banks have hired Deutsche Bank to review options for their payments firm Sibs, while Germany’s savings banks are looking for a buyer of a minority stake in their BS Payone unit, sources familiar with the matter told Reuters.

Austrian banks have asked HSBC to kick off a sales process for their payments business Card Complete, the sources said.

Switzerland's SIX is currently overseeing the countdown to a mass-market switch to the ISO 20022 standard for payments harmonisation across all consumer, corporate and bank payments, an initiative billed as the country's biggest financial infrastructure project in 390 years. The project marks a response to an inexorable rise in electronic payments, currently accounting for 74% of all consumer transactions.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Danish payments processor Nets close to $5bn buyout

Danish payments processor Nets close to $5bn buyout

01 September 2017  |  16596 views  |  0 comments
Positive outlook for instant payments drives IT spend at EU banks

Positive outlook for instant payments drives IT spend at EU banks

01 August 2017  |  8854 views  |  1 comments | 13 tweets | 17 linkedin
Back office consolidation and the ATMfutura project

Back office consolidation and the ATMfutura project

14 July 2017  |  9165 views  |  0 comments | 5 tweets | 4 linkedin
Worldpay and Vantiv agree £9.1 billion merger

Worldpay and Vantiv agree £9.1 billion merger

05 July 2017  |  10452 views  |  1 comments | 18 tweets | 21 linkedin
Worldpay and Nets shares spike on takeover talks

Worldpay and Nets shares spike on takeover talks

04 July 2017  |  7721 views  |  0 comments | 5 tweets | 4 linkedin
Switzerland prepares for mass-market migration to ISO 20022 standard

Switzerland prepares for mass-market migration to ISO 20022 standard

30 March 2017  |  9570 views  |  1 comments | 12 tweets | 25 linkedin
SIX issues mobile credit card in Austria

SIX issues mobile credit card in Austria

03 February 2017  |  6697 views  |  0 comments | 7 tweets | 12 linkedin
Switzerland looks to the future with new ISO 20022 payments architecture

Switzerland looks to the future with new ISO 20022 payments architecture

18 April 2016  |  8151 views  |  0 comments | 14 tweets | 10 linkedin
More Swiss banks join Paymit ahead of high street expansion

More Swiss banks join Paymit ahead of high street expansion

21 January 2016  |  8141 views  |  1 comments | 11 tweets | 5 linkedin
Swiss banks join SIX and Swisscom to push mobile payments to the high street

Swiss banks join SIX and Swisscom to push mobile payments to the high street

05 August 2015  |  9155 views  |  0 comments | 10 tweets | 7 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit equensworldline.comVisit iliad-solutions.com/Visit www.aciworldwide.com

Top topics

Most viewed Most shared
GPS raises £44 million to fund international growthGPS raises £44 million to fund intern...
18117 views comments | 6 tweets | 8 linkedin
Ripple exec says DLT not ready for banks...yetRipple exec says DLT not ready for banks.....
11667 views comments | 11 tweets | 33 linkedin
DBS to use robot to screen applicants for human jobsDBS to use robot to screen applicants for...
8463 views comments | 3 tweets | 6 linkedin
Robots save Nordea from GDPR processing nightmareRobots save Nordea from GDPR processing ni...
8367 views comments | 10 tweets | 17 linkedin
Alior to launch pan-European digital bank with solarisBank and RaisinAlior to launch pan-European digital bank...
8035 views comments | 10 tweets | 16 linkedin

Featured job

Basic c Euro 120K, Variable Euro 120K - full ben...
Paris prefered London possible

Find your next job