Revised Bid Values Fintech Firm at $292 Million
A consortium led by Helios Investment Partners has submitted an improved takeover proposal for London-based payments provider CAB Payments. The revised offer of $1.15 (84p) per share represents a 21% premium over the company’s 30-day average share price, valuing CAB Payments at approximately $292 million (£213 million).
Shareholder Options and Consortium Support
The proposal includes an alternative partial unlisted share option, enabling investors to maintain exposure to the business should it transition to private ownership. Helios confirmed it currently holds or has secured support for 50.33% of CAB’s shares, including its existing 45.11% stake in the company.
Challenges Following Public Listing
Since its 2023 stock market debut, CAB Payments has faced multiple operational challenges including foreign exchange volatility, executive departures, and consecutive profit warnings. The fintech firm initiated workforce reductions last year while increasing investments in artificial intelligence as part of its restructuring efforts.
Previous Acquisition Attempts
This marks the second takeover approach from Helios, following CAB’s rejection of a $1.05 (77p) per share offer last week. In 2024, American payments processor Stone X reportedly engaged in acquisition discussions that ultimately concluded without agreement, despite proposals valuing CAB at up to £368.5 million.
Rationale for Private Ownership
The investment consortium emphasized that private control could better position CAB Payments for long-term growth following what it described as “a challenging period as a listed company.” Market response saw CAB shares rise 4% following the revised bid announcement, though the stock remains down over 75% since its initial public offering.
