Brazilian payments and POS terminals company Getnet Brasil, controlled by Spain’s Banco Santander, announced that it intends to go private again, just seven months after its debut on the stock exchange when it reached a BRL 7.3 billion market value. The delisting order came from Santander, which holds almost 90% of the company through its subsidiary PagoNxt.
According to Getnet, its controlling shareholder intends to acquire all the shares in the market and cancel the company’s registration as a publicly-held company. The measure is applied to the shares and units listed on the Brazilian stock exchange B3 and the American Depositary Shares traded on Nasdaq.
Getnet’s delisting depends on some conditions including shareholder approval.
Getnet did not give the reasons for the decision. Still, the delisting is symptomatic of the moment faced by the acquiring market, with a stricter competition due to the arrival of new players, such as Stone and PagSeguro. Founded in 2003, Getnet is Brazil‘s third-biggest card processor, behind Cielo and Rede, respectively controlled by the banks Bradesco and Banco do Brasil, and Itaú.
The price offered for the shares will be BRL 2.36 per ordinary share and BRL 4.72 per unit, a value 29.3% higher than the price of the units on Thursday, at BRL 3.65. When Getnet was listed, the initial price of the unit was set at BRL 4.72, and since then it has dropped by 33.7%.
For US-listed ADS, the price to be offered is the equivalent of two units each, adjusted by the exchange rate.
Getnet reported earnings of BRL 92.3 million in the first quarter, a year-on-year increase of 64.1%, and net revenues of BRL 816.1 million, up 36.1%.