Italian State Investor CDP Set to Boost Stake in Nexi Payments Group
CDP Equity's Strategic Move in the European Payments Sector
CDP Equity's Plan to Increase Its Stake
ROME, May 25 (Reuters) - Italian state investor CDP Equity plans to raise its stake in payments group Nexi to as much as 29.9%, it said on Monday, bolstering a player in a sector viewed as increasingly strategic.
Current Holdings and Acquisition Strategy
CDP Equity, which currently owns 19.14% of Nexi, ruled out launching a full takeover bid. It said it would enter derivative contracts covering 8% of Nexi's capital once it secures the necessary authorisations. It could buy more Nexi shares directly, it added.
Nexi's Position in the European Payments Market
Nexi is Europe's biggest payments group by volume of transactions. Its share price has plunged from post-pandemic highs, as investors reassessed prospects for a sector where rapid technological evolution threatens incumbents such as Nexi which traditionally partnered with banks.
Private Equity Interest in Nexi
Nexi has repeatedly drawn private equity interest over the years, the latest earlier this month from CVC Capital Partners.
Implications of CDP Equity's Increased Stake
Stabilizing Nexi's Shareholder Base
CDP Equity said increasing its stake would make Nexi's shareholder base more stable.
Supporting Digital Innovation and European Growth
CDP Equity's Vision for Nexi
"CDP Equity believes in a strong industrial and innovative evolution for Nexi," it said in a statement. It added that with 1.8 trillion euros worth of digital transactions processed across 25 countries, Nexi could play a leading role supporting Europe's development of digital money.
(Reporting by Giuseppe Fonte and Valentina Za; Editing by Alvise Armellini, Kirsten Donovan)
