Investment services firm SS&C has been asked to increase its offer for specialist fund administrator Mainstream Group after rival servicing firm Apex submitted a higher bid.
Australia-based Mainstream Group Holding was set to be acquired by SS&C after its A$270 million (€171 million) bid was unanimously recommended by the Mainstream board.
However, Apex has tabled a larger bid at A$2.55 per share, equivalent to A$356 million (€225 million), which has been determined as a ‘superior proposal’ by Mainstream, according to an announcement to the Australian Stock Exchange (ASX).
Apex said the move would be in line with its strategic acquisitions in recent years as it looks to develop from “a regional fund administrator to a global financial solutions provider”.
In February, Apex completed the acquisition of third-party management company FundRock.
The Apex bid was received on April 30 and SS&C has been given four working days to either match or better the Apex proposal.
In the meantime, Mainstream stated that it is continuing to work with SS&C under the terms of its original proposal. At the time of writing, Mainstream had not withdrawn the recommendation of the SS&C proposal, as set out on April 27.
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