DOJ Antitrust Division Cancel Visa's $5.3 billion Plaid Acquisition 💳

Visa Plaid Acquisition:
Visa has announced it will no longer be making a $5.3 billion acquisition of Plaid after the U.S. DOJ filed a civil antitrust lawsuit on Nov. 5, 2020, to stop the merger. The DOJ alleges that Visa is a monopolist in online debit, charging consumers and merchants billions of dollars in fees each year to process online payments. Plaid is developing a payments system that would challenge Visa’s monopoly. According to the complaint, the transaction would have enabled Visa to eliminate this competitive threat to its online debit business before Plaid has a chance to succeed. Alex discusses this move from Visa, Plaid's increased valuation since the inception of this deal, and explains why he's surprised Visa didn't push back against the DOJ's lawsuit more.

Originally Aired: 01/26/21
#Visa #Plaid #Acquisition

Visa and Plaid Abandon Merger After Antitrust Division’s Suit to Block: https://www.justice.gov/opa/pr/visa-and-plaid-abandon-merger-after-antitrust-division-s-suit-block
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Visa Plaid Acquisition