S1 Tells Shareholders To Wait Before Succumbing To Hostile Takeover
ATLANTA – Well-known credit union vendor S1 Corp. told shareholders this morning to hold their stock until the board has weighed the latest takeover offer from ACI Worldwide, which is seeking to top a competing merger agreement between S1 and FundTech.
S1 Corp said it is reviewing ACI's increased offer, amounting $10 a share or $568 million, and will advise its shareholders of its decision before Sept. 13.
On Aug. 25, ACI had increased the cash component of its bid for S1, making it tougher for S1 to spurn the offer and go ahead with its proposed acquisition of Israel's FundTech. S1 will hold a special shareholders' meeting Sept. 22 to vote on the FundTech merger.
S1 said earlier that the cash component of ACI's offer was not compelling enough, and that it would need a better deal to scrap its proposed merger with FundTech.
ACI had raised the cash component of the deal to $6.20 per share from $5.70 a share, and left the share component unchanged at 0.1064 ACI shares for each S1 share.