Rumor swirls about a potential merger involving a massive rival of Wirecard.
In the ever-evolving world of digital payment processing, rumors of a potential merger between Global Payments and Total System Services have been circulating. If these talks were to be confirmed, the combined entity could potentially shake up the industry.
Based in Atlanta and Columbus, Georgia, respectively, Global Payments and Total System Services are significant players in their respective fields. Global Payments, the fifth-largest merchant acquirer in the U.S. according to The Nilson Report, focuses primarily on supporting businesses in processing credit and debit card payments. On the other hand, Total System Services, currently valued at $16 billion on the stock market, is the largest third-party provider for credit card issuers in the U.S., serving approximately 40% of all U.S. Visa and Mastercard card accounts.
If the merger were to occur, the combined value could potentially surpass Wirecard's current value of $19 billion, creating a dominant player in the digital payment processing industry. However, it's important to note that neither Global Payment Inc. nor Total System Services Inc. has issued a statement on the rumored talks.
The sources of these rumors have chosen to remain anonymous, but it's known that preliminary discussions have taken place between the two companies. It's also worth mentioning that Global Payments and Total System Services Inc. have already merged in 2019, although recent developments have focused on restructuring parts of the combined business, such as the acquisition of Worldpay and the divestiture of Global Payments' Issuer Processing business to Fidelity National Information Services.
If the merger were to happen, it could potentially result in a more diverse offering in the digital payment processing industry. With Total System Services' expertise in serving credit card issuers and Global Payments' focus on supporting businesses, the combined entity could offer a comprehensive solution for all players in the industry.
However, it's crucial to remember that these are just rumors at this point. Until an official announcement is made, we can only speculate about the potential changes this merger could bring to the digital payment processing industry.
The potential merger between Global Payments and Total System Services, if confirmed, could potentially create a finance titan in the digital payment processing industry, surpassing Wirecard's current value of $19 billion. If successfully combined, Global Payments' focus on supporting businesses in processing credit and debit card payments and Total System Services' expertise in serving credit card issuers could offer a comprehensive solution for all players in the industry, diversifying the offered services.
