This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Hot Financial IPOs: Vantiv, BATS

Stocks in this article: VNTV BATS

NEW YORK ( TheStreet -- The payment processors have been hot properties this year, and now a new name is set to make its public debut: Vantiv (VNTV).

The Cincinnati-based company, which processes more than 11.4 billion ATM and POS transactions and almost $400 billion in debit card and credit card sales each year, is seeking to raise $500 million through the sale of 29.4 million shares at $16-$18 each.

Vantiv plans to use the proceeds of the offering to pay down debt and reduce interest expenses. At the mid-point of its pricing range, Vantiv shares would have a price-to-sales ratio of 2.2X, in line with competitors like Fiserv (FISV) and Global Payments (GPN).

In addition to those companies, Vantiv faces competition on the merchant side from Bank of America (BAC), Chase Paymentechand First Data (FDC). In its financial institution service business, it also competes with First Data, Fiserv and also Visa (V).

If those competitors weren't daunting enough, new players to the field include PayPal and Google (GOOG). These companies have better name recognition among customers.

Vantiv though offers clients a single technology platform that it believes provides a competitive advantage. It can deliver new applications to its customers quickly and in large scale through this platform, which also makes its different products easy to connect to and use.

Once a division of Fifth Third Bank (FITB), Vantiv was spun off and launched as a joint venture between Fifth Third and Advent. It was only last year that the company changed its name from Fifth Third Processing to Vantiv.

In the opinion of IPO Desktop President Francis Gaskins: "Vantiv seems like a good buy at the price range mid-point to hold for a month or so after the 40-day analyst report quiet period ends."

Another financial offering on the calendar this week is BATS Global Markets (BATS), which is looking to raise $107 million through the sale of 6.3 million shares priced at $16-$18 each. BATS is the third largest exchange operator in the U.S. behind NYSE Euronext (NYX) and Nasdaq OMX Group (NDAQ), but is still much smaller.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs