Home / Business and Economy / FIS Pays $210 Million to Settle Worldpay Investor Suit
FIS Pays $210 Million to Settle Worldpay Investor Suit
25 Dec
Summary
- FIS agreed to a $210 million settlement over the Worldpay acquisition.
- Investors claimed FIS made misleading statements about the 2019 Worldpay purchase.
- The settlement is pending court approval and subject to lawyer fees.
Fidelity National Information Services (FIS) has reached a $210 million settlement to resolve a lawsuit initiated by investors regarding its substantial $35 billion acquisition of Worldpay. The legal agreement, pending court approval, aims to compensate shareholders who alleged that the company and its executives made misleading statements about the 2019 transaction.
According to the lawsuit, these alleged misstatements artificially inflated FIS's stock value. When these inaccuracies were later revealed, the stock price reportedly declined significantly, with shares falling from approximately $104.13 in August 2022 to $66 by February 2023. The settlement terms propose a recovery of about 32 cents per share after accounting for legal fees and expenses.
While the settlement offers a resolution, the defendants, including FIS CEO Stephanie Ferris and former CEO Gary Norcross, have formally denied all allegations of wrongdoing. They maintain that they did not commit any acts or omissions that led to investor losses or violated any laws. This development marks a significant financial outcome for the protracted legal dispute stemming from the large-scale acquisition.
