Canada's Nuvei to buy SafeCharge for 436p a share
By Michele Maatouk
Date: Wednesday 22 May 2019
(Sharecast News) - SafeCharge surged on Wednesday as the payments technology company agreed to be bought by Canada's Nuvei for CAD5.55 a share in cash, or around 436p.
The offer represents a 25% premium to SafeCharge's closing share price on Tuesday.
Chairman Roger Withers said: "The board is unanimously recommending this all-cash offer by Nuvei to buy SafeCharge at an attractive premium, which represents compelling value for SafeCharge shareholders.
"The price premium Nuvei is offering reflects SafeCharge's leading position in the high growth e-commerce payments market, the strength of its own technology platform, its diversified and stable customer base and the significant experience in the payments industry of SafeCharge's management team. It is for these reasons that the board is unanimously recommending this transaction to SafeCharge shareholders."
Nuvei said the deal would allow it to further strengthen its technology platforms by leveraging the "innovative, cutting-edge" technology developed by SafeCharge. In addition, it will "significantly" broaden and diversify both companies' customer bases, with the enlarged group having minimal geographic, customer or industry concentration.
The deal would create an enlarged group with "financial scale, strengthening its go-to-market position and affording the company further strategic alternatives from both a financing and M&A perspective", Nuvei said.
At 1025 BST, SafeCharge shares were up 21% to 425.05p.
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