Fidelity National Information Services agreed last week to pay $210 million to settle a lawsuit brought against it by investors over its $35 billion-dollar purchase of the merchant services firm Worldpay, according to a spokesperson for plaintiffs’ lawyers at the firm Labaton Keller Sucharow.
Under terms of the Dec. 17 legal agreement, the recovery is expected to be about 42 cents per “damaged share,” but that amount will be shaved to 32 cents on average, after taking into consideration up to $47.5 million in fees and expenses, plus interest, for the plaintiffs’ lawyers, according to a legal document provided by the spokesperson. The agreement is contingent on court approval.
16 replies (most recent on top)
@y6 And over 10 years, FIS is sitting nearly exactly even while Fiserv is UP 25% and Jack Henry is UP 125%.
@y6 Even with Fiserv's big drop recently, they are down 30% over the past 5 years. FIS is down 55% over those same 5 years. That's a massive difference.
And no, it isn't the entire fintech industry. Jack Henry is UP 25% over those same 5 years.
@gh Don't forget the $1,200,000,000 they spend in stock buybacks that do nothing for the share price! $1.2 b for this cheap stock manipulation trick and less than ~$250m for investments in all products. Analysts why aren't you looking at this?
@wx All Fintech is down, not just FIS. Fiserv was rocking until they had to admit they were fudging the numbers.
And at the end of the day, while $210 million seems significant to me and you. It's not an extreme hit to their bottom line. Not to mention it's likely going to be paid by Directors & Officers liability insurance, even if partially that helps.
Stephanie needs to step down or be let go. The only way this now survives is her leaving the scene.
@OP i think this is a big reason why the stock is stuck.
even though the world pay buy was gary and woody's idea, Stephanie played a big role in the acquisition, and so her credibility is tarnished.
this is like a lead weight that won't lift until she is gone
@ff Ian, is that you? You sly devil, you!
wow.
@mp VP Ian McCoy will create a narrative about what happened then he will cash his substantial bonus check.
@jv Hope he reads it then. I wonder what he will think of himself? Maybe they don't have shame or morals...
of course the company has to RIF worker bees. it needs to pay for all of these 200s
$210 million for this settlement
$200+ million to Mckinsey
$200+ million in severance
$200+ million on atelio
@ff What is Ian's role in this FT situation exactly? Can you elaborate? I am not familiar with that part of the business but know him more or less.
@e5 At FIS, their severance policy is listed in the employee hand book. Not sure how the Worldpay judgment can affect that. I read elsewhere that their reserve for 2026 layoff/severance packages is around $210 million. So, while shooting themselves in the foot with the loss of their largest client, Franklin Templeton (where is the shareholder blowback/reputational damage from that) they now have to pay for the Worldpay debacle? Are these losses so inconsequential to the bottom line that they don't matter? Evidently, Stephanie Ferris thinks so. Wonder what her compensation package plus bonus for 2025 was? As to those staring down the FT layoffs after the end of tax season, while scrambling to get hired back at FT (the new Mobley v Workday class action suit is just another wrinkle) or finding another job, this is just gut wrenching. How nice to exist in such a consequence free world. I am looking at you, Ian McCoy. The rest of them are trying to figure out how to pay their mortgages.
Stephanie needs to be FIRED! She drove worldpay into the ground and is doing the same thing to FIS.
Yikes. That’s could to make it harder to continue with the layoffs. That’s probably approach the amount they have reserved for RIF packages
Technically not all of them are. As Norcross and Woodall were pushed out.
But that's not to say there are not other players still here who should take a long hard look in the mirror. But I suspect that look will only involve redoing their makeup.....