(Alliance News) - Idox PLC shares soared on Friday after the management software provider said it received a possible cash offer from Toronto-based provider of cloud-based software Dye & Durham Ltd.
Idox was trading at 19% higher at 72.93p each in London on Friday morning, giving it a market capitalisation of GBP323.6 million.
Reading, England-based Idox said the proposed price is 75 pence per Idox share. Idox currently has around 443.7 million shares in issue.
Dye & Durham confirmed that it submitted three non-binding proposals of 67 pence, 70 pence and 75 pence per Idox share, payable in cash, to Idox's board of directors on February 9, February 17 and February 18.
The latest proposal values Idox at an equity value, on a fully diluted basis, at approximately GBP342.8 million.
Dye & Durham stressed that there "can be no certainty that an offer will be made".
In early February, Idox reported a swing to pretax profit for its financial year ended October 31 of GBP2.7 million from a GBP25,000 loss in 2019.
Dye & Durham has until March 19 to make a firm offer.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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Idox Group (IDOX)