Is a White Knight offering better options to Misys?

Close to midnight Bloomberg quoted “two people familiar with the matter” and announced that

“Misys, has attracted interest from buyout firms and would consider alternatives if they deemed better for shareholders”.

This announcement will surely represent a threat to what some analysts have being calling a “shotgun marriage” between the Swiss Banking Software Editor, Temenos and the British firm, Misys. During the past days, courtyard rumors out of the Banking Software and Finance Industry, as well as several analysts expressed doubts about the vision of the mega merge, which would create the largest vendor of banking software in the world, with an approximate value of 3 Billion US.

According to Bloomberg, U.K deals tend not to include breakup fees, typically included in U.S. transactions, meaning that Misys wouldn’t have to pay extra money in case get “cold feet”, for a second time in less than a year. Six months ago, Fidelity and Misys couldn’t agree on price.

The current deal, which terms have been discussed is at the moment under the scrutiny of “The Panel on take over and mergers”,  an independent body, established in 1968, whose main functions are to issue and administer the City Code on Takeovers and Mergers (the “Code”) and to supervise and regulate takeovers and other matters to which the Code applies. Its central objective is to ensure fair treatment for all shareholders in takeover bids.

An extract of the file is part of the public records:

For further discussion and views and insights exchange I’ve created a group #Mysemenos on Linkedin.: Join us!!

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