EconomyMarkets

Visa, Plaid call off $5.3 billion deal By Reuters

© Reuters. A Visa credit card is seen on a computer keyboard in this picture illustration

(Reuters) – Visa and financial technology company Plaid said on Tuesday that they would terminate their $5.3 billion merger agreement following a U.S. government lawsuit aimed at stopping the proposed transaction on antitrust grounds.

The U.S. Justice Department had sued to stop the deal in November, saying that Visa was a “a monopolist in online debit transactions” and that the proposed acquisition “would eliminate a nascent competitive threat” to that monopoly.

The deal, which was proposed in January 2020, was scrapped to avoid protracted litigation, said Al Kelly, chairman and CEO of Visa Inc (NYSE:).

“We are confident we would have prevailed in court as Plaid’s capabilities are complementary to Visa’s, not competitive,” he added.

Visa said in January it had agreed to buy the privately held startup Plaid in a $5.3 billion deal aimed at boosting the payments giant’s access to the booming financial technology sector.

(This story corrects to show Plaid is not listed, removes Reuters Instrument Code from first paragraph)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.


Source link

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button