The potential takeover is likely to complement the bank’s US market position and provide a platform for expansion in Asia and Europe
Credit Suisse in its research note on Tuesday, the sell side firm started covering JP Morgan Chase & Co. potential bid for WorldPay of around $9 billion. WorldPay is a popular payment processing British company. The buying strategy stands united to the investment bank’s policy of achieving a robust hold in innovation of payment. Furthermore, Credit Suisse thinks that the move might strengthen the company’s merchant services outside the United States.
As per Sunday Times published report, JP Morgan is impending WorldPay for a prospective buyout. While, as per reports, WorldPay is seeking for an initial public offerings. Keeping in mind that WorldPay goes forward with the IPO on LSE (London Stock Exchange), it might be banking on 6 billion pounds valuation equals to $9 billion, JP Morgan has originate a competitor in the payment processing of United States company, Vanity, which is also approaching WorldPay.
Currently, the company enjoys the top position in business of merchant services in U.S. Actually, as per Nilson data of 2013, JP Morgan was the top entirely owned merchant buyer. The American bank generated around $848 billion in merchant volumes, which witnessed year over year growth of 13% in 2014.
Instead, WorldPay made around £ 3.6 billion in revenue last year, expressing 8% year over year growth. Furthermore, the company is a reliable acquirer of latest and balancing businesses.
Therefore, Susan Roth an analyst believes that an association between the 2 might strengthen the market position of JP Morgan in United States. More significantly, it will be able to extend the bank penetration in Asian and European markets. Keeping the fact that WorldPay provides a fess based fewer capital intensive effort, Credit Suisse look at it as a “clear positive” for the company.
Furthermore, the sell side firm disclosed that the company has $3.6 billion of net debt till the end of last year. So, the bank might be looking at various synergies in its potential bid to acquire WorldPay.
As per Credit Suisse forecasts, the bank is rambling an upward trend in the upcoming period. Earnings per share are most likely to go up to $5.90 a share this year and $6.70 per share in 2016. Likewise, JP Morgan endures to fortify its relations with investors, with ROE increasing to 10.1% in 2015 and $10.8% next year.
In the meantime, most of the Street analysts have significantly positive viewpoint on the stock of JP Morgan. 29 out of 40 analysts rated it a Buy, 11 assigned a Hold rating to the stock.
Credit Suisse in its research note on Tuesday, the sell side firm started covering JP Morgan Chase & Co. potential bid for WorldPay of around $9 billion. WorldPay is a popular payment processing British company. The buying strategy stands united to the investment bank’s policy of achieving a robust hold in innovation of payment. Furthermore, Credit Suisse thinks that the move might strengthen the company’s merchant services outside the United States.
As per Sunday Times published report, JP Morgan is impending WorldPay for a prospective buyout. While, as per reports, WorldPay is seeking for an initial public offerings. Keeping in mind that WorldPay goes forward with the IPO on LSE (London Stock Exchange), it might be banking on 6 billion pounds valuation equals to $9 billion, JP Morgan has originate a competitor in the payment processing of United States company, Vanity, which is also approaching WorldPay.
Currently, the company enjoys the top position in business of merchant services in U.S. Actually, as per Nilson data of 2013, JP Morgan was the top entirely owned merchant buyer. The American bank generated around $848 billion in merchant volumes, which witnessed year over year growth of 13% in 2014.
Instead, WorldPay made around £ 3.6 billion in revenue last year, expressing 8% year over year growth. Furthermore, the company is a reliable acquirer of latest and balancing businesses.
Therefore, Susan Roth an analyst believes that an association between the 2 might strengthen the market position of JP Morgan in United States. More significantly, it will be able to extend the bank penetration in Asian and European markets. Keeping the fact that WorldPay provides a fess based fewer capital intensive effort, Credit Suisse look at it as a “clear positive” for the company.
Furthermore, the sell side firm disclosed that the company has $3.6 billion of net debt till the end of last year. So, the bank might be looking at various synergies in its potential bid to acquire WorldPay.
As per Credit Suisse forecasts, the bank is rambling an upward trend in the upcoming period. Earnings per share are most likely to go up to $5.90 a share this year and $6.70 per share in 2016. Likewise, JP Morgan endures to fortify its relations with investors, with ROE increasing to 10.1% in 2015 and $10.8% next year.
In the meantime, most of the Street analysts have significantly positive viewpoint on the stock of JP Morgan. 29 out of 40 analysts rated it a Buy, 11 assigned a Hold rating to the stock.