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Report: Fiserv a Top Contender to Acquire Shift4 Payments

Shift4 Payments

Fiserv and Amadeus IT Group are reportedly competing to acquire Shift4 Payments, which has been running a sale process.

The two main contenders are preparing to submit final offers in the coming weeks for the payments processor, which has a market value of nearly $7 billion, Reuters reported Wednesday (Feb. 28), citing unnamed sources.

The process is ongoing and a deal is not certain, according to the report.

Reached by PYMNTS, a Fiserv spokesperson declined to comment on the report.

In an emailed statement to PYMNTS, an Amadeus spokesperson said the company was  “aware of rumors regarding Amadeus and Shift4. Amadeus is not interested in this transaction.”

It was reported in December that Global Payments was considering an acquisition of Shift4, but a Global Payments spokesperson denied the report.

Asked about a Bloomberg report about a potential deal, a Global Payments spokesperson told PYMNTS: “Although we typically do not respond to market speculation or rumors, we are not in discussions with Shift4 regarding any type of strategic transaction.”

Shift4, based in Center Valley, Pennsylvania, processes over $200 billion worth of annual transactions for more than 200,000 customers, including restaurants, casinos, hotels and sports teams like the San Francisco 49ers, according to the report.

The company has seen a surge in its shares, which jumped as much as 13% on the news of the potential acquisition, the report said.

Payments processors like Shift4 saw a boost during the pandemic as customers shifted toward digital payment methods, per the report. Despite increased competition and high inflation, Shift4 announced profit and revenue forecasts for 2024 that topped market expectations.

If the acquisition of Shift4 is successful, it would be the latest in a series of deals in the financial services industry, according to the report. These include Capital One’s agreement to acquire Discover; Nasdaq’s purchase of Adenza; and GTCR’s acquisition of a majority stake in Worldpay.

The contenders for Shift4 are looking to add that company’s capabilities to their own.

Fiserv, a technology provider for banks and merchants, acquired First Data for $22 billion in 2019, according to the report.

Amadeus, based in Madrid, focuses on travel software systems and expects revenue growth between 11% and 14.5% this year, per the report. The potential acquisition of Shift4 would complement Amadeus’ travel booking tools and further expand its offerings in the financial services sector.