After 5 weeks of extenuating negotiations, with dramatic scenes entries and bumpy price rides on the stock market, the negotiations between Temenos and Misys seem to have come to an end, as it was announced by Press Releases in both corporate websites.
What will happen with Temenos, now that a nice and bright horizon with Misys is not longer part of its future? Slow market, increased costs due to the still hard to digest Odyssey acquisition and the certitude that T24, the flag-ship from Temenos, is getting close of its limits in terms of technical upgrade-ability.
Misys also faces its share of problems: declining margins and delayed decisions by its major clients, moreover the challenge to convince the market that BankFusion really is the Core Banking of the future. Whether Misys will do better without the “sales savoir-faire” from its Swiss rival will it shows in the next quarters. Financial Times saw already a fall in Misys share prices in case Misys will get cold feet again.
According to an other press release of this morning, Misys continues to be in discussions with Vista Equity Partners as set out in the announcement dated 20 February 2012 and CVC Capital Partners Limited and ValueAct Capital (as joint offeror) as set out in the announcement dated 5 March 2012 in both cases regarding a possible cash offer for the Company.
This blog will continue to follow intently both houses!!