Fiserv raises offer for Monitise

Fiserv had reached an agreement to acquire Monitise in June, but in July the court meeting and the general meeting to approve the acquisition were postponed by Fiserv in light of feedback received from certain Monitise shareholders.

The final figure now stands at around £75m and Fiserv believes that the increased and final offer constitutes full and fair value for Monitise given the financial outlook for the group and the structural challenges it faces.

In July, Monitise announced its unaudited trading update and revealed that revenue for the year ended 30th June 2017 declined to £50.9m, compared with £67.6m in 2016. 

Monitise also expects revenue for the year ending 30th June 2018 to be lower than 2017 with a consequent effect on operating results. 

Monitise helps some of the world’s most-trusted financial institutions design, build, run and deliver digital banking experiences.

The acquisition will allow Fiserv to expand its range of technologies, which enable financial institutions to meet the evolving consumer expectations for financial services.

Monitise directors consider the terms of the increased offer to be fair and reasonable and have unanimously recommended the offer to shareholders. 

The directors believe that the strategic alternatives to a takeover of Monitise are accompanied by significant execution risk and are unlikely to yield superior value to the acquisition.