{"id":153260,"date":"2021-01-13T02:31:23","date_gmt":"2021-01-12T23:31:23","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/visa-and-plaid-call-off-5-3b-merger-citing-doj-pushback\/"},"modified":"2021-01-13T02:31:23","modified_gmt":"2021-01-12T23:31:23","slug":"visa-and-plaid-call-off-5-3b-merger-citing-doj-pushback","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/visa-and-plaid-call-off-5-3b-merger-citing-doj-pushback\/","title":{"rendered":"#Visa and Plaid call off $5.3B merger citing DoJ pushback"},"content":{"rendered":"

“#Visa and Plaid call off $5.3B merger citing DoJ pushback<\/strong>”
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Visa is calling off its marriage with fintech startup Plaid rather than fight the Justice Department\u2019s claims that the tie-up would limit competition in the debit-card market.<\/p>\n

The two companies announced after the closing bell on Tuesday that they are terminating their planned $5.3 billion union after coming to the conclusion that it would require prolonged litigation with DoJ, which sued to block the deal in November on antitrust grounds. <\/p>\n

\u201cWe believe the combination of Visa with Plaid would have delivered significant benefits,\u201d Visa chief Al Kelly said in a statement. \u201cHowever, it has been a full year since we first announced our intent to acquire Plaid, and protracted and complex litigation will likely take substantial time to fully resolve.\u201d<\/p>\n

Visa announced its acquisition in Jan. 2020, but the deal was held up by the DoJ review. <\/p>\n

\u201cWhile Plaid and Visa would have been a great combination, we have decided to instead work with Visa as an investor and partner so we can fully focus on building the infrastructure to support fintech,\u201d Plaid co-founder and CEO Zach Perret said in a statement.<\/p>\n

News<\/a> of the the merger\u2019s death sent Twitter<\/a> afire with speculation that Plaid could become an acquisition target by a special-purpose acquisition company, or SPAC, with some users predicting that so-called \u201cSPAC King\u201d investor Chamath Palihapitiya will pursue Plaid with his fifth SPAC after using his fourth to do a $8.65 billion deal with fintech darling SoFi.<\/p>\n

Since the merger was announced, the market for SPACs has caught fire and some speculated that Plaid, valued at $2.65 billion after its most recent funding round in 2018, would be an ideal target for a SPAC to merge with and take public.<\/p>\n

\u201cTomorrow\u2019s Trending Keywords: Plaid, Chamath, SPAC\u201d tweeted user Rocco Savage.<\/a>\n <\/div>\n