23rd Jul 2025 12:04
(Alliance News) - Alpha Group International PLC on Wednesday agreed to a GBP1.81 billion takeover offer from Corpay Inc, an Atlanta, Georgia-based payment provider.
Alpha shares were up 26% at 4,162.10 pence on Wednesday morning in London. Corpay shares were flat at USD334.29 during after-hours trading in New York.
Corpay will pay 4,250 pence per share to acquire Alpha, a London-based based financial services firm focused on foreign exchange risk management.
This price is around 55% higher than Alpha's share price of 2,745p at May 1, the day before Corpay said it was in talks to buy the British firm. Though the offer values Alpha at GBP1.81 billion in total, the deal's terms imply a total enterprise value of GBP1.61 billion.
Back in May, Alpha rejected an all-cash proposal from Corpay for an undisclosed amount. Alpha twice extended the put-up-or-shut-up deadline, with Corpay required to make a firm offer or back down from the deal by Thursday, July 24.
Corpay said on Wednesday that the acquisition will "accelerate its cross-border growth" by combining "Alpha's UK and European regional capabilities and alternative banking solutions with Corpay's global scale". In particular, Corpay noted Alpha's Corporate FX business and Private Markets branch, which "provides exposure to institutional fund clients, an underserved client segment for Corpay," the US firm explained.
The deal is expected to improve revenue and cost synergies, and to be at least 50 US cents accretive to Corpay's cash earnings per share in financial 2026.
Alpha's board plans to recommend shareholders vote in favour of the acquisition at a meeting scheduled September 2. Corpay said Alpha shareholders with a combined 13.83% stake have committed to vote for the deal.
As of Wednesday, Corpay and Alpha are in a cooperation agreement. Corpay intends to execute the deal as a scheme of arrangement, and requires 75% approval for it to pass.
The acquisition is expected to become effective in the fourth quarter of 2025. Following the takeover, Alpha's FX segment will be integrated with Corpay's Cross Border division, and Corpay plans to re-register Alpha as a private company.
By Holly Munks, Alliance News reporter
Comments and questions to [email protected]
Copyright 2025 Alliance News Ltd. All Rights Reserved.
Related Shares:
Alpha Group International