London-based fintech and FTSE 250 consultancy firm Alpha has rejected a takeover offer from US payments giant Corpay that would have seen it delist from the UK public markets.
Following media speculation, Atlanta-based Corpay confirmed last week that it had approached Alpha with a possible cash offer for its entire issued share capital.
The deal would have seen Alpha, with a market cap of $1.5bn (£1.1m), delist from the London Stock Exchange in what would have been a major blow to the British markets, particularly following the announcement that fellow FTSE company Deliveroo had agreed a takeover deal from US firm DoorDash.
The company said on Tuesday the board had carefully considered the proposal and “unanimously rejected it”.
The rejection does not completely remove the possibility of a deal, however, as Corpay now has until 30 May to either announce a firm offer – that will have to be significantly stronger – or announce it no longer plans to pursue the takeover.
Corpay said in a statement that “there is no certainty that an offer will be made.”
Alpha’s share price jumped by around 5% on Tuesday following the announcement.
UKTN has contacted Alpha for comment.
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