Argentex rejects equity investment proposal from Lavide Holding

(Sharecast News) - Currency management firm Argentex said on Monday that it has received and rejected an investment proposal from Lavide Holding, a Euronext-listed financial holding company with a market capitalisation of around €3m. Responding to a Sky News report suggesting that Dutch private equity firm Haerlem Capital had made an investment proposal, Argentex said that on 6 June, it received a highly preliminary non-binding proposal from Lavide and not Haerlem.

Lavide proposed an investment of £2.5m in cash for a 50% equity interest. The proposal also included the potential provision of a £15m credit facility to the company upon completion.

Argentex agreed in April to be bought by IFX Payments for £3m.

It said on Monday: "The board wishes to clarify that it has unanimously rejected the proposal on the basis that it does not constitute an offer for the entire issued share capital of the company, and that its proposed funding falls materially below that provided by IFX Payments and the level that Argentex requires to continue trading and fulfil its ongoing regulatory obligations."

At 1222 BST, Argentex shares were up 33% at 3.26p.