ACI Worldwide is reportedly in talks about a potential sale.
The provider of payments software is talking with private equity firms and working with financial advisors as it gauges interest in an acquisition, Bloomberg reported Wednesday (Jan. 4), citing unnamed sources.
ACI Worldwide did not immediately reply to PYMNTS’ request for comment.
Given the state of the markets, though, it’s uncertain that a deal will be found, according to one of the sources who contributed to the report.
As PYMNTS has reported, it’s gotten tougher for would-be suitors in any industry to obtain the capital necessary to finance any mergers and acquisitions in the first place.
In fact, would-be deals totaling more than $150 billion have either been postponed or cancelled as financing becomes more scarce.
As for ACI Worldwide, shares in the company closed 13% higher on Wednesday after having dropped 35% over the previous 12 months.
ACI Worldwide is seen as a ripe target for a takeover because it is one of the payments industry’s smaller players, and because there has been a lot of consolidation in the sector over the past few years, the report said.
The company serves banks, merchants and billers, and delivers real-time payments software solutions that enable clients to manage digital payments, omnicommerce payments, bill payments, and fraud and risk.
Founded in 1975, it has offices in 34 countries and earned revenue of $1.4 billion in 2021.
In September, ACI Worldwide completed the sale of its corporate online banking solutions to venture capital firm One Equity Partners for $100 million. At the time, ACI said saying the move would allow it to focus more on priorities like faster-growing core business lines.
As for real-time payments, PYMNTS research has found that this payment method is capturing the imaginations of consumers reared on peer-to-peer (P2P) transfers and retailers that see faster payment rails bringing new experiences and efficiencies to operations.
In fact, 65% of non-grocery retailers are adding real-time payments, as are 56% of convenience stores and 55% of grocery retailers, according to “Navigating Big Retail’s Digital Shift: The New Payments Strategy Evolution,” a PYMNTS and ACI Worldwide collaboration.