NEW YORK (
) -- Shares of
The Blackstone Group
sank Thursday following a report that the buyout firm was in talks to purchase
Fidelity National Information Services
Blackstone's stock was off 5.1% to $12.62 in recent trades. Volume of nearly 5 million was more than 25% ahead of the issue's trailing three-month daily average of 3.8 million.
The Wall Street Journal
said the deal on the table would value Fidelity National at about $10 billion. Fidelity National shares were soaring almost 16% following the report to $30.08, swelling the company's current market capitalization to more than $11.2 billion in afternoon action, according to
. Volume in Fidelity National was already above 20.5 million, exceeding the stock's usual daily churn of 2.7 million by more than seven times.
If completed, the transaction would be the first real sign of a return for mega-deals -- absent since the financial crisis took hold -- to the leveraged buyout market. The last big acquisition completed by a private equity firm was the TPG Capital-Canadian Pension Plan acquisition of IMS Health Inc. in late February for $5.2 billion.
Written by Michael Baron in New York