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13 days ago
BRIEF-Equiniti to buy Wells Fargo Share Registration & Services business for $227 mln
July 12, 2017 / 6:35 AM / 13 days ago

BRIEF-Equiniti to buy Wells Fargo Share Registration & Services business for $227 mln

2 Min Read

July 12 (Reuters) - Equiniti Group Plc​

* ‍Proposed acquisition and carve out of Wells Fargo Share Registration & Services business for total cash consideration of $227 million

* Says ‍acquisition expected to be strongly earnings accretive in first full year of ownership

* Says ‍acquisition expected to be double digit earnings accretive by end of second full year of ownership

* Says ‍expected cost synergies of deal estimated to be at least $10 million per annum

* Says ‍expected cost synergies achievable by third full year of ownership, with 50% achieved by second full year of ownership

* Consideration, transaction expenses expected to be financed from planned £122 million rights issue ​

* Says ‍rights issue is expected to be launched in September 2017

* Cash consideration, transaction expenses also expected to be financed from £120 million fully underwritten new debt facilities

* Acquisition is anticipated to complete during Q4 2017/Q1 2018 following completion of carve out of WFSS and regulatory approval Source text for Eikon: Further company coverage:

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