CAB Payments (LSE:CABP) has received a revised non-binding and final indicative cash offer from StoneX Group at 110 pence per share, valuing the business at around £287 million. The proposal implies a premium of 52% to the undisturbed share price prior to an earlier approach, 43% above the 52-week high, and 29% higher than the existing firm offer from the Helios Consortium.
Following discussions with its advisers, the company’s independent board stated it would be inclined to recommend a formal offer from StoneX at this level, subject to satisfactory due diligence and agreement on final terms. The board has also encouraged the Helios Consortium to engage with StoneX, noting the enhanced value for shareholders. However, it emphasised that there is no guarantee a binding offer will materialise and advised investors not to take any action at this stage.
From a financial perspective, the company presents a mixed outlook. While it maintains a solid balance sheet with relatively low leverage, performance has been impacted by volatile cash flows and inconsistent revenue and margin trends. Market indicators offer some support, with the share price trading above key moving averages, while valuation appears reasonable on a price-to-earnings basis, though the absence of dividend yield data limits further assessment.
More about CAB Payments Holdings Limited
CAB Payments Holdings PLC operates within the financial services sector, specialising in cross-border payments and foreign exchange solutions. The company focuses on enabling transactions in emerging and less accessible markets, providing infrastructure and services to financial institutions and corporate clients with complex international payment requirements.
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