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(Reuters) -Australian automotive software company Infomedia Ltd received on Monday a A$638.8 million ($443 million) acquisition proposal from U.S.-based Solera Holdings LLC after attracting two bids last month, sending its shares sharply higher.
Solera, which provides risk management software and services to the automotive industry, offered Infomedia A$1.70 per share in cash, lower than Battery Ventures' A$1.75 per share offer and at par with TA Associates-led consortium's bid.
Shares in Infomedia jumped as much as 9.1% to A$1.625, marking their biggest intraday percentage gain in a month, after the company announced the offer, which represents a 14.1% premium to the stock's last closing price.
Infomedia has been deemed a "highly attractive" acquisition target given its profitability, dividend payout, and positive free cash flow, say RBC Capital Markets analysts.
The consortium led by U.S. private equity firm TA Associates offered on May 13 to buy Infomedia for A$638.8 million, which was topped by Battery Ventures' A$657.6 million proposal.
Infomedia has decided to engage further with the three suitors and grant due diligence access, the company said in a statement.
TA Associates and Battery Ventures did not immediately respond to Reuters' requests for comment.
($1 = 1.4420 Australian dollars)
(Reporting by Himanshi Akhand in Bengaluru; Editing by Sam Holmes and Subhranshu Sahu)