LONDON (ShareCast) - (Sharecast News) - Bain Capital Private Equity has abandoned a tentative bid for Craneware, it confirmed on Wednesday, after the British fintech rejected its multi-million pound approach.
AIM-listed Craneware said Bain had offered 2,650p per share for the business, valuing it at around £939m.

That represents a 29% premium to Craneware's closing share price on 15 May, the day before Bain first disclosed its interest. The Edinburgh-headquartered company has a market capitalisation of around £710m.

However, Craneware said the tentative offer, made prior to due diligence being carried out, "fundamentally" undervalued the business and its prospects.

It continued: "The board is fully confident in the ongoing execution of Craneware's strategy and that its continued successful delivery will create significant value for shareholders.

"The proposal...from Bain is not in the best interests of shareholders and is not consistent with the board's understanding of the objectives of shareholders."

Bain, meanwhile, confirmed it would not now be making a firm offer for Craneware, which supplies financial software to the US healthcare market.

As at 0845 BST, shares in Craneware were down 1% at 1,985p.

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