29th Jan 2019 15:40
LONDON (Alliance News) - Earthport PLC said Tuesday Mastercard Inc has received letters of intent to accept from about 12% of Earthport's total issued shares.
On Friday, the international payments firm agreed to an increased offer from Mastercard for 33 pence per Earthport share, valuing the company at GBP233 million.
As of Monday, Mastercard had received letters of intent to accept for about 75.5 million Earthport shares.
Mastercard had received letters of intent to accept representing about 13% Earthport shares but Earthport Executive Chair Hank Uberoi and his foundation - who had previously signed a letter of intent to sell to Mastercard - disposed of a combined 6.0 million shares last Friday.
Uberoi, and his funds, held an interest in 20.2 million Earthport shares, representing about 4.7% of the company's issued share capital. The remaining shares Uberoi holds remain subject to the letter of intent he has signed.
Shares in Earthport were up 1.6% Tuesday at 37.20 pence each.
The price Mastercard offered is a 10% premium to the offer Visa made in December of 30p, and is more than triple the 7.45p price Earthport shares were trading at on Christmas Eve, the final business day before the first offer was made public.
The 30p offer made by Visa in December, which was accepted by Earthport, valued the company at GBP198 million.
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