Worldpay — owned by Royal Bank of Scotland until the bank was forced to carve it out in the aftermath of the financial crisis — has flourished over the last two years as a standalone company.
Now it has been bought by US credit card processing company Vantiv for $10.4bn but its name will live on in the US, with the combined company — 43 percent owned by Worldpay investors and 57 percent by Vantiv — trading as Worldpay and listed on the New York Stock Exchange.
Since it listed on the London Stock Exchange in 2015 — the biggest IPO of the year — Worldpay shares rose by 21 percent before the Vantiv deal was announced on the back of its rapid growth numbers.
Worldpay’s road to $10bn
Strategic acquisitions have been one of the ways Worldpay has been able to grow so quickly. Here’s a brief history of how it came to be valued at just over $10bn by Vantiv.
- Founded in 1989 as a payment system called Streamline, first released by CentreFile, a wholly owned subsidiary of National Westminster Bank
- CentreFile was sold to Ceridian in 1995 and the system was moved back under the National Westminster Bank umbrella
- National Westminster Bank was acquired in 2002 by Royal Bank of Scotland Group and renamed the business RBS WorldPay
- It was then combined with Streamline, Streamline International, PaymentTrust, Netherlands based Bibit, RiskGuardian and US-based Lynk over the next five years
- All was well until the global financial crisis struck 10 years ago and RBS was forced by the European Commission to sell its Worldpay until as part its 2009 deal
- Private equity groups Advent International and Bain Capital agreed to acquire Worldpay for £2bn
- In 2010 Worldpay acquired Cardsave to expand card payment services to smaller retailers
- Worldpay Zinc was launched in 2013, allowing payments to be taken through smartphones
- Later that year Worldpay bought US payment processing company Century Payments
- An October 2015 IPO valued Worldpay at a whopping $5bn
- Worldpay bought SecureNet Payment Systems in 2014 for an undisclosed price
- The company boasts it processes £370bn in payments from 400,000 merchants every year and handles around 40 percent of web-based transactions in Europe
- News emerges of Vantiv’s interest in the company in late July, sending shares sharply higher
- Vantiv seals $10.4bn merger with Worldpay on 9 August 2017
- The combined company will be valued at £22.2bn or $28.8bn and have an annual revenue of around $3.2bn
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData