Vantiv and Worldpay: Cramer's Top Takeaways
Version 0 of 1. Did you miss "Mad Money" on CNBC? If so, here are some of Jim Cramer's top takeaways. Not every merger and acquisition is earth-shattering, like Amazon buying Whole Foods Market (WFM) , Cramer told viewers. But some deals really are game-changing and the market isn't taking notice. Case in point: payments processor Vantiv (VNTV) snapped up the U.K. based Worldpay for $10 billion. Vantiv is what's known as a merchant acquirer, a company that works directly with merchants to allow them to accept electronic payments, then takes a small cut of the transaction fees thereafter. Acquirers are a valuable part of transaction processing as they set pricing and own the relationship with the merchant. While Vantiv largely operates in the U.S., Worldpay is almost exclusively in the U.K. and beyond, which is why the merger makes so much sense. Now is a great time to invest in Europe, Cramer said, as the continent is finally getting back on its feet. Vantiv can also greatly enhance Worldpay's U.S. business with its vast expertise. Despite the synergies, shares of Vantiv fell 2.4% on the news, before recovering slightly. Given the continued consolidation in the space, Cramer said Vantiv is a winner. On Real Money, Cramer says investors should remember that things really can work out for the bulls. Get his insights on how to play this market with a free trial subscription to Real Money. Cramer and the AAP team just held the monthly call with their investment club members and talked about the top 10 stocks in their portfolio they'd like to buy right now. Get in on the conversation with a free trial subscription to Action Alerts PLUS. Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. To read a full recap of this episode of "Mad Money," click here. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. |