(Alliance News) - Cloudcall Group PLC saw shares rocket 66% on Thursday following the announcement it would be taken over by technology investor Xplorer Capital Growth I LLC.
Shares in Cloudcall were up 66% at 79.00 pence on Thursday in London.
The Leicester-based computer telephony integration company agreed to be taken over by the Silicon Valley, California-based firm in a GBP39.9 million cash deal.
Under the deal, shareholders will receive 81.50p for each share held in the company. This represents a 72% premium to its closing share price of 47.5p on Wednesday.
Xplorer Capital Growth is a newly formed company owned and managed by funds advised by Xplorer Capital Management LLC. Its core focus of funds managed by Xplorer Capital Management are to invest in "emerging and disruptive technologies".
The acquisition is expected to be completed in the first quarter of 2022. It was advised by Canaccord Genuity Group Inc.
CloudCall Non-Executive Chair Peter Simmonds said: "Over recent years, the management of CloudCall has continued to develop its product mix, enhanced its client base and positioned itself for growth. However, CloudCall operates in a highly competitive environment where many of its peers are larger and better capitalised and CloudCall will require additional funding to continue to support its strategy and remain competitive.
"Against this backdrop, I believe the offer from Xplorer Capital represents an attractive premium, provides certain value today for CloudCall shareholders and provides CloudCall with the opportunity to access significant further capital to implement CloudCall's strategy in the future."
By Heather Rydings; heatherrydings@alliancenews.com
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