Banks waive control provisions to allow Metavante buyout by Fidelity National

By Cristal Cody

Tupelo, Miss., April 1 - Metavante Technologies, Inc. said its lenders have waived change-of-control provisions tied to $1.7 billion of debt to allow the company's buyout by Fidelity National Information Services, Inc.

Jacksonville, Fla.-based Fidelity National said on Wednesday that it plans to acquire Milwaukee-based Metavante Technologies in an all-stock deal valued at about $2.94 billion.

The deal is valued at $4.4 billion with the assumption of Metavante's debt.

"Obviously the debt capital markets have changed substantially," George Scanlon, Fidelity's chief financial officer, said on the conference call held Wednesday with analysts. "We worked closely with Metavante's lenders and think we came out with a fair outcome for both sides."

According to Metavante's annual filing in February, lenders include JPMorgan Chase Bank, NA.

The combined companies are expected to have $3.8 billion in total debt, including $1.45 billion of debt generated from the transaction.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.