Tyro Payments ends buyout discussions with Potentia after rejecting A$875 mln bid (updated)

Tyro Payments

22/05/2023 24:06

(Adds details on the deal, background)
       May 22 (Reuters) - Australia's Tyro Payments  TYR.AX 
said on Monday it has ended deal discussions with suitor
Potentia Capital, months after the payment terminals firm
rejected the private equity group's A$875 million ($593.5
million) buyout proposal. 
    Potentia's decision to withdraw the offer follows Tyro
granting it due diligence and engaging in "extensive
negotiation" of material commercial terms, Tyro said in a
statement. 
        "Tyro also worked with Potentia to develop processes
that could potentially address regulatory requirements to reduce
risk to Tyro by providing increased confidence of completion in
a reasonable timeframe," it added. 
  
        Potentia had first offered to buy Tyro for A$1.27 per
share in September, then improved its offer to A$1.60 in
December.
  
        Tyro 
    rejected
     both offers, saying they undervalued the company. 
  
        In January, Tyro opened the door to re-engaging with
Potentia by offering it 
    access to its books
     to come up with an improved proposal and confirm the
necessary funding commitments.
  
        Potentia did not immediately respond to a Reuters'
request for comment.
  
    
        
  
($1 = 1.4743 Australian dollars)

 (Reporting by Himanshi Akhand in Bengaluru; Editing by Lisa
Shumaker and Kim Coghill)
 ((Himanshi.Akhand@thomsonreuters.com;))