Warburg Pincus and Blackstone Inc. are considering selling IntraFi, which could fetch the financial technology company more than $10 billion.
The private equity firms have recruited Guggenheim Securities and Morgan Stanley to assist IntraFi in the sale process, which is still in its early stages.
No final decision has been taken, and Blackstone and Warburg may decide to keep the company.
Buy COMPLETE GLOBAL TRADE MASTERY @ https://selar.com/p/51175y15ag?affiliate=t3ke
The largest reciprocal deposit network in the US, according to Arlington, Virginia-based IntraFi, assists banks in distributing their clients’ funds among several banks to offer federal deposit protection on amounts over $250,000.
Banks can purchase and sell deposits through the company’s network. IntraFi receives fees on the sales of surplus deposits made by banks to banks in need of funding.
Customers became pickier about where they stored their money when Silicon Valley Bank failed in 2023, which increased bank rivalry for deposits.
IntraFi, which was founded in 2002 by three former bank regulators, was purchased by Blackstone in 2019 from a group of investors that included Bank of New York Mellon.
Buy E-COMMERCE BUILDER BUNDLE @ https://selar.com/p/r78po4856y?affiliate=3bl5
At the time, the company was known as Promontory Interfinancial Network. In 2022, Warburg Pincus invested in the company. According to the sources, IntraFi’s yearly EBITDA is $630 million.
The sale process occurs when private equity firms try to get better deal terms. Blackstone agreed to sell Clarion Events to Informa last month for roughly 2.2 billion pounds, while Warburg Pincus just agreed to sell McGill and Partners and WildFire Energy.
According to a 2024 Bloomberg News article, the two companies had previously considered selling IntraFi.
Buy CHINA IMPORTATION MASTERCLASS @ https://selar.com/p/9c5884f481?affiliate=98wu
