FIS 3q26: Time for take-private?

Much ink has already been spilled on FIS's ugly quarter (2027 EPS numbers coming down by 20% due to lapping of non-recurring revenues, bank consolidation and lower termination fees benefits, deprioritization of certain low-margin businesses, pivot from license to SaaS, and investments in cybersecurity). The recovery, that always seems to be around the corner, keeps getting pushed out with continually revised numbers - which puts into question the visibility (hence the CFO change) and also the fundamental health of the business. At ~$36B EV, ~5x clean 2027 PE and ~13x EV/Clean NOPAT, we believe a PE sponsor takeout of FIS is a probable outcome from here (there is no obvious strategic buyer especially for banking). The sponsor check (banking + capital markets combined) to write could be big ~$20B on equity (assume a 20-25% premium) if the vast majority of existing cheap debt could be rolled over, which we believe could be if existing rating is preserved.