Helios makes recent takeover bid for struggling CAB Payments

Helios Investment Partners has raised its takeover offer for London-listed payments firm CAB Payments.

The consortium said it is offering $1.15 (84p) per share for CAB Payments, after its previous $1.05 (77p) offer was rejected last week.

It represents a 21 per cent premium to the 30-day volume weighted average share price, valuing the company at $292million (£213million).

The offer includes a partial unlisted share alternative which would allow shareholders to keep an investment in the business if it is taken private.

The Helios consortium, which comprises major private equity firms focused on Africa, said it holds or has support for 50.33 per cent of CAB Payments’ shares.

New offer: Helios has made a revised takeover bid for London-listed fintech CAB Payments

Helios believes CAB Payments would perform better under private ownership following a ‘challenging period as a listed company’.

Since its stock market debut in 2023, CAB Payments has suffered a series of profit warnings driven by foreign exchange fluctuations and the departure of its chief executive and financial officer.

Last year, it announced sweeping job cuts as part of a restructure and investment into artificial intelligence in efforts to get itself back on track.

In 2024, American payments firm Stone X entered talks regarding a possible takeover of CAB. It reportedly made multiple offers, including one valuing CAB at £368.5million, before walking away.

‘The long term success of the business will be better supported under the Helios Consortium’s private ownership,’ the investment group said.

Shares in the fintech are down over 75 per cent since its IPO, but rose 4 per cent following Helios’ revised takeover offer.