Westpac ends Tyro buyout talks
Summary
Westpac has ended acquisition talks with payments provider Tyro without making a formal offer. However, at the time, it noted “there is no certainty that any transaction will result.” On Monday, the bank stated [pdf] that following due diligence, it made the decision “that submitting an offer is not in the best interests of Westpac shareholders at this time.” In a separate statement, Tyro said [pdf] that "extensive discussions” had occurred with Westpac and another potential suitor, private equity firm Potentia. Tyro also said private equity firm Potentia put forward a non-binding "indicative proposal" valuing it at $875 million. It said a decision was ultimately taken to “cease all current discussions with these parties in relation to a possible change of control transaction”. “Based on the board’s assessment of the company’s attractive growth prospect in the Australian payments and business banking markets, no such proposal has been received.