Shares in e-Pay Asia (ASX:EPY) fell more than 15% on Wednesday, after the company revealed the collapse of a deal to sell its operating subsidiaries for $12 million.
In a terse statement to the market, e-Pay Asia announced that the sale of its businesses to Euronet Worldwide “will not be proceeding, as an agreement was unable to be reached in that regard.”
Euronet had offered to buy the businesses, which focus on providing mobile credit recharge services in Southeast Asia, in a deal worth $12 million.
The company outbid original suitor Tobikiri Capital, which had reached a sale agreement with e-Pay Asia at the price of $8.5 million before Euronet stepped in.
But after a few rounds of bidding, Tobikiri agreed to work with e-Pay Asia to terminate this sale agreement.
e-Pay Asia did not advise whether or not negotiations with Tobikiri are likely to be resumed in light of the latest development.
EPY shares fell 15.79% on Wednesday to $0.160.
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