Skrill Acquisition by Neteller Still Undergoing FCA Scrutiny

An official announcement issued by the bidder details that the Financial Conduct Authority has yet to approve the takeover deal

Earlier in the year, the parent company of Neteller, Optimal Payments Plc (LON:OPAY) announced that it would be acquiring Skrill for €1.1 billion ($1.2 billion) however the deal is still pending. The U.K. regulator, the Financial Conduct Authority, has yet to give the green light for the acquisition.

If approved, the move would represent further consolidation in the sector after Skrill had completed the acquisition of Ukash earlier this year. The FCA has been in contact with Optimal Payments Plc (LON:OPAY) and is expected to have its final say on the deal no later than the 11th of August.

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Optimal Payments Plc (LON:OPAY) elaborated in an official company statement that the U.K. watchdog has not requested any additional information from the firm. This should warrant the successful conclusion of the FCA review as the parent company of Neteller is expecting the approval for the takeover to be issued shortly.

Optimal Payments Plc (LON:OPAY) and Skrill will be able to conclude the deal on the receipt of change of control approval from the FCA, which is currently the only condition required in order to conclude the takeover.

Shares of the bidder traded lower by about 7 percent on the London Stock Exchange’s Alternative Investments Market in the immediate aftermath of the market open, only to recover later during the session to trade about 2 percent lower at the time of publication.

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