Fifth Third Bancorp (FITB) expects to gain up to $71 million from the initial public offering of payment processor, Vantiv (VNTV).
Vantiv, which
The underwriters for the offering also have the option to sell roughly 4.4 million shares to cover over allotments. If these shares are sold, the $117 billion-asset Fifth Third would earn another $11 million after taxes.
Vantiv was a joint venture established in 2009 between the private-equity firm Advent International and Fifth Third's banking unit, Fifth Third Bank.
Following the offering, Fifth Third still holds roughly 86 million class B units that can be exchanged for common stock on a one-for-one basis. The bank plans to use its gains from the sale to repurchase its own shares.