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Shareholder Abandons Bid After 12 Rejections
2 Feb
Summary
- Shareholder abandoned bid after 12 rejected offers.
- Company shares fell over 50% in the past year.
- Recent offer valued the company at £485 million.
FitzWalter Capital, the largest shareholder in Auction Technology Group (ATG), has ceased its efforts to acquire the company. This decision follows the rejection of twelve takeover proposals submitted since September. FitzWalter Capital, which holds a nearly 22% stake in ATG, accused the board of "extreme shareholder value destruction" and failing to facilitate due diligence.
The most recent offer from FitzWalter Capital valued ATG at £485 million, or 400p per share, but this was declined by the ATG board last month. Consequently, FitzWalter Capital has confirmed it will not proceed with an offer.
ATG shares experienced an early trading drop of up to 11%, reaching 275.5p. The company acknowledged FitzWalter's decision, expressing gratitude for shareholder engagement and looking forward to continued dialogue.
This situation occurs amidst a wave of takeover activity in London, with other firms like Beazley, CAB Payments, and mining giants also being targets or involved in potential mergers.
