Temenos pulls out of Misys takeover fight
Tuesday 13 March 2012
The number of takeover bidders circling the banking software company Misys was cut from three yesterday after its listed Swiss rival Temenos pulled out of the running.
Temenos sparked the takeover frenzy on 3 February when it opened negotiations with Misys about a £2bn merger.
Since then, two other private-equity bidders, Vista Equity Partners and a joint pairing of CVC Capital and Value Act Capital Partners, have emerged. The Swiss company said it ended talks because "no agreement has been reached on the final terms of a transaction".
"We are not surprised that Temenos has walked away," said George O'Connor, an analyst at Panmure Gordon, noting that the Swiss company was not offering a cash "sweetener" and that the merger also faced a number of operational challenges.
Mr O'Connor added that Vista looked to be in pole position to buy Misys, but warned that private equity has something of a habit of pulling out of such battles.
The broker cut its target price as Temenos' withdrawal meant there is a "lack of a takeover premium".
There is further uncertainty about the future of Misys as chief executive Mike Lawrie (pictured) said last month he would step down. Shares in Misys fell 13p to 328p, valuing it at £1.1bn. Under Takeover Panel rules, Temenos now only has the right to make a fresh offer within six months if Misys agrees a sale to a third party.
Oscar Pistorius trial: Paralympian sick again after photographs of Reeva Steenkamp's body are shown in court
Missing Malaysia Airlines Flight MH370: US pushes search towards vast expanse of the Indian Ocean
Seth Rogen compiles list of all the celebrities he’s got high with
Oscar Pistorius trial: Photographs of Paralympian splattered in blood shown in court
Missing Malaysia Airlines Flight MH370: Focus shifts west as Indian Ocean becomes latest search area for the aircraft and its passengers
Katie Hopkins continues campaign to become Britain's most hated talking head with poorly timed Bob Crow tweet
No EU referendum under Labour: Ed Miliband to reveal that vote on membership is ‘unlikely’ in next Parliament if party wins power
Grace Dent: Who cares if she spells it Barraco Barner? Gemma Worrall is more employable than some bookish arts graduate
Europeans have ‘got whiter’ due to natural selection in past 5,000 years, scientists say
Fracking is turning the US into a bigger oil producer than Saudi Arabia
The rise of Ukip: Study warns Labour that Eurosceptic party's electoral base now 'more working class than any of the main parties'
- 1 Tony Benn meets Ali G: Watch Labour veteran burn Sacha Baron Cohen
- 2 Women do experience two different types of orgasm, study reveals
- 3 Tony Benn dead: Veteran Labour politician passes away at 88
- 4 Istanbul protesters take 'Ellen selfie' from the back of a police van
- 5 Gauthier Soho has ranted against 'food blaggers' - so can we really trust online reviews?
iJobs Money & Business
£35000 - £43000 per annum + Bonus and Benefits: Harrington Starr: A global lea...
£50000 - £60000 per annum: Harrington Starr: Linux Systems Administrator - UNI...
£32000 - £36000 per annum + generous benefits: Pro-Recruitment Group: * TAX * ...
£37000 - £40000 per annum + £20000 benefits package: Pro-Recruitment Group: **...