First Data expects to raise $3.7 billion in its initial public offering. The deal involves 160 million shares of its Class A common stock. The initial public offering price is expected to be between $18.00 and $20.00 per share.
CardWeb.com’s CardExecs database of payments industry movers and shakers today features Eckard Heidloff, President & CEO of Wincor Nixdorf
First Data’s continued losses, laden with debt and milked by KKR minions makes its upcoming IPO for fools. The Company, valued at $40 billion, managed to lose $26 million in the second quarter which it blames on foreign currencies – total mismanagement and lack of foresight.
First Data has filed a registration statement for a proposed initial public offering (IPO) with an estimated value of $40 billion. KKR took the payments processor private in 2007 for $26 billion.
GE Capital has unloaded its Australia and New Zealand consumer lending business for A$8.2 billion (US$6.3 billion). Värde Partners, KKR and Deutsche Bank are the proud new owners of the GE portolio.
First Data has received commitments to purchase approximately $3.5 billion of its common equity in a private placement to strengthen the company’s balance sheet through repaying portions of its debt. The $3.5 billion comprising the private placement announced today includes $1.5 billion from existing investors and $2.0 billion from new investors, including a diverse group of pension funds, mutual funds, asset managers and wealthy individuals. KKR provided approximately $1.2 billion, including $500 million from its 2006 Fund and $700 million from its balance sheet. Upon close of the transaction, KKR’s balance sheet will have approximately $1.0 billion invested in First Data’s equity, through general partner and limited partner interests.
First Data announced its Board of Directors has named Joseph J. Plumeri vice chairman. Plumeri was appointed to the First Data Board of Directors and as a senior advisor to KKR in August 2013. Since then he also has been serving as senior advisor to First Data Chairman and CEO Frank Bisignano, and as the head of First Data’s client delivery, innovation and marketing organization. He will continue in these roles.Since joining First Data, Plumeri has played a pivotal role in the company’s transformation from a transaction processor to a payments technology company and solutions provider to merchants and financial institutions. Plumeri has spearheaded company-wide efforts to become more client-centric, including realigning how the company delivers solutions to and serves its global and strategic accounts, national merchants and enterprise clients, financial institutions, small business clients, bank partners and agents and ISO clients. Plumeri was chairman and chief executive officer of Willis Group Holdings, plc before joining First Data. Appointed in 2000,
First Data Chairman announced Heidi G. Miller has joined its Board of Directors. Miller was president of JPMorgan International, a division of JPMorgan Chase & Co. Before that she served as CEO of JPMorgan Chase’s Treasury and Security Services, leading 35,000 people in 50 countries. Miller also served as executive vice president and chief financial officer for Bank One Corporation. She has held other CFO positions including at the Travelers Group and later at Citigroup. She graduated from Princeton University with a bachelor’s degree in history and completed her doctorate in history at Yale University in 1979.
Joseph J. Plumeri is joining the Board of Directors of First Data, a KKR portfolio company. Having served 12 years as Willis Group chairman and CEO and as its non-executive chairman through July 2013, Plumeri strengthened Willis’ position as one of the world’s leading insurance brokers through industry-sector-leading organic growth and operating margins, strategic expansion, and a return to public ownership in 2001. Prior to joining Willis, Plumeri had a 32-year career at Citigroup and its predecessor companies. As CEO of Citibank North America, he led the integration of the consumer businesses at Citicorp and Travelers Group. He also served as chairman and CEO of Travelers Primerica Financial Services, vice chairman of the Travelers Group, and president and managing partner of Shearson Lehman Brothers.
Jonathan J. Judge has been named CEO with First Data electronic commerce and payment processing. Bringing with him 34 years of technology industry experience, Judge previously served as president and CEO at Paychex payroll for six years, where revenues grew from $1.2 billion to approximately $2 billion and achieved a market capitalization of approximately $10 billion. Prior to this, he was the CEO for Crystal Decisions, a private $300 million software company providing business intelligence solutions. Judge began his career as a sales trainee and spent 26 years with IBM Corporation, serving in a series of positions with increasing responsibility. Judge serves on the board of directors of Dun & Bradstreet and PMC-Sierra, serves as a member of the Upstate New York Regional Advisory Board of the Federal Reserve Bank of New York and is a graduate of Harvard University with a bachelor’s degree in economics.
First Data Corporation has appointed board member Joe Forehand as chairman and interim CEO. Most recently chairman and CEO of Accenture where he spent 34 years of his career, Forehand served as Accentureâs CEO from November 1999 through August 2004 and as Accentureâs chairman from 2001-2006. He is currently a senior advisor at KKR and prior to that served as chairman and CEO at Accenture from November 1999 through August 2004 and as chairman from 2001-2006. He led Accenture through a period of significant change and growth â including launching one of the largest global rebranding campaigns. In July 2001, Forehand led the company in its IPO, one of the largest in U.S. history. During Forehandâs term as CEO, Accenture grew from $9.6 billion in revenue and 66,000 employees to $13.7 billion in revenue and 103,000 employees.
First Data has hired Kevin Schultz, formerly global head of Visa
Processing Services for Visa, as president of its Financial Services
business segment. Also, John Elkins, formerly a senior advisor to
McKinsey & Company, as chief marketing officer. Schultz responsibilies
include Card Issuing, Debit Services, the STAR Network, Output Services,
Government and Education Markets, and analytic and decision services
products. Elkins will be responsible for global marketing and brand
development. First Data also announced that Henry Kravis and Joe
Forehand were appointed as new members to its board of directors.
Kravis is the co-founder, co-chairman and co-CEO of Kohlberg Kravis
Roberts & Co. Forehand retired as chairman of Accenture in 2006 after
more than 30 years with the firm.