Private equity firm CVC is contemplating an acquisition bid for Nexi, a Milan-listed payments company, aiming to take the group private. The proposed deal, which would value CVC at approximately EUR 9 billion (including about EUR 6 billion in debt), has been discussed twice before – once in 2015 and again recently in 2023 – against the backdrop of a 65% decline in Nexi’s share price over the past four years. This fall is largely attributed to fee reductions, renegotiations with contracts, and stiff competition from fintech rivals.
Political Challenges and Italy’s ‘Golden Power’ Regulations
The acquisition faces considerable political hurdles. According to Italy’s ‘golden power’ framework, which safeguards key economic assets like banking infrastructure, the Italian government can veto foreign acquisitions of strategically important entities. CVC has stated that it would not initiate a formal offer without Rome’s endorsement. A source familiar with these discussions characterized the current negotiations as “purely political.”
To overcome these challenges, CVC proposes to separate Nexi’s digital banking solutions division and transfer it to an Italian state-backed entity. Cassa Depositi e Prestiti (CDP) is proposed as a potential receiver since it already holds the second-largest stake in Nexi. However, there seems no inclination from the state fund to fully delist Nexi, and Italian officials favor restructuring rather than changing ownership.
Nexi’s Ownership Structure and Operational Divisions
Hellman & Friedman, a U.S. private equity group that became a major investor when Nexi merged with payments rival Nets in 2020, is currently not involved in discussions over CVC’s proposal but would respond to any formal offer. As of now, Nexi operates through three key segments: merchant solutions (accounting for nearly 60% of the group’s EUR 3.6 billion revenue in 2025), issuing solutions (partnering with financial institutions to issue payment cards), and digital banking solutions (the smallest segment).
Recent Developments at Nexi
Nexi’s decline has intensified due to a reversal in investor sentiment following its aggressive expansion strategy. The acquisitions of Italian payments providers Sia and Nets, which were once seen as cash-generative, have become less profitable amidst fee compression and increased competition.
Furthermore, the company experienced leadership changes with its CEO stepping down after a decade in office, replaced by the CFO, marking what Nexi termed a ‘new phase of development’. Additionally, Nexi rejected a EUR 1 billion bid from U.S.-based private equity group TPG to acquire the digital banking division separately.
