Evo Payments Rejected Shift4 Takeover Offer

(Bloomberg) -- Shift4 Payments Inc. recently made a takeover offer for rival Evo Payments Inc. that was rebuffed, according to people familiar with the matter. 

It’s unclear whether Shift4 Payments will make another bid, said the people, who asked not to be identified because the matter wasn’t public.

A representative for Shift4 Payments declined to comment. A spokesperson for Evo Payments didn’t immediately respond to a request for comment. 

The approach coincides with heavy consolidation in the payments sector, which was already growing rapidly before the coronavirus pandemic accelerated a shift away from using cash. 

Companies that have benefited from the trend have sought to take advantage of their surging stock prices to help fuel acquisitions. PayPal Holdings Inc.’s takeover approach to Pinterest Inc. was a recent example of that strategy.

Shift4 Payments, which went public in June 2020, has seen its shares gain 19% in the past year. 

The stock fell 1.9% at 9:34 a.m. in New York trading Wednesday, giving the company a market value of about $5.9 billion. Evo Payments rose 3.4% to $24.87, giving it a market value of about $2.1 billion. 

Shift4’s founder and chief executive officer, billionaire Jared Isaacman, was among the first civilians to take a SpaceX flight into space in September. 

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