By Pamela Barbaglia and David French

LONDON/NEW YORK (Reuters) – Italian funds know-how agency Nexi is main negotiations to purchase Nordic rival Nets in an all-stock deal value about $10 billion after trumping competitors from U.S. agency World Funds, 4 sources informed Reuters.

The deal would rework Nexi, which has a market worth of 8.four billion euros ($9.93 billion), right into a European funds powerhouse, permitting it to construct a footprint in key areas such because the Nordics and Central and Japanese Europe.

U.S. non-public fairness agency Hellman & Friedman, which took management of Nets in 2017 and subsequently delisted it from the Copenhagen inventory alternate, is working with Credit score Suisse on the sale and desires to clinch a deal by the tip of the yr, two of the sources mentioned, talking on situation of anonymity because the matter is confidential.

The sources mentioned Nexi, suggested by Centerview Companions, was ready for market volatility to ease in November after the U.S. presidential election earlier than getting into a binding settlement with Nets.

They added that any takeover of Nets would not endanger Nexi’s ongoing merger with Italian rival SIA – a deal introduced on Oct. 5 and anticipated to shut by the summer season of 2021.

World Funds dropped out of the method after the sale of its $2 billion Netspend unit was pulled earlier this week, two of the sources mentioned.

Nexi, Hellman & Friedman and World Funds declined to remark whereas Nets was not instantly accessible.

($1 = 0.8461 euros)

(Reporting by Pamela Barbaglia in London and David French in New York, extra reporting by Elisa Anzolin in Milan; Enhancing by Kirsten Donovan)