• Fintech startup Plaid has a slew of investors who won't get paydays now that Visa's $5.3 billion deal is off. And they say they're happy about it

    10 days ago - By Business Insider

    Summary List Placement Things have not gone according to plan for fintech startup Plaid. But its investors now say that may be for the best.
    In January, Visa agreed to purchase the fintech unicorn for $5.3 billion, giving Plaid's backers a sweet return on their investment - roughly seven years after the company raised its first round of venture capital.
    But the deal fell apart on Tuesday, after regulators refused to approve it and instead sued to stop it, saying it was anti-competitive. In the face of that, both parties agreed to walk, they said in a statement .
    That's the official story...
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  • Plaid CEO touts new ‘clarity' after failed Visa acquisition

    Plaid CEO touts new ‘clarity' after failed Visa acquisition

    10 days ago - By Tech Crunch

    Yesterday, we spoke with Plaid CEO and co-founder Zach Perret after news broke that Visa no longer plans to buy his company for $5.3 billion .
    The deal was heralded in early 2020 as a sign of the growing importance of fintech startups. Then it failed to close, eventually running into a lawsuit from the U.S. Department of Justice. A few months later, the acquisition was dropped.
    Sentiment in the market changed since the transaction was announced. As TechCrunch reported yesterday , there's a good deal of optimism to be found amongst investors and others that Plaid will eventually be worth...
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  • Visa exits $5.3 billion Plaid buy, leaving data-sharing standards up to regulators

    Visa exits $5.3 billion Plaid buy, leaving data-sharing standards up to regulators

    10 days ago - By Business Insider

    Summary List Placement
    Visa's exit follows a lawsuit filed by the Department of Justice in November challenging the $5.3 billion takeover of data aggregator Plaid, which was first announced almost exactly one year ago, per The Wall Street Journal.
    The DOJ alleged that the acquisition would give Visa a monopoly in the online debit card market and limit competition in the payments industry. Plaid CEO Zach Perret said in a statement that the company will work with Visa as an investor and partner going forward.
    The termination could delay Visa's entry into open banking in the US, which likely...
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