Mitek Systems Rejects ASG’s $380M Takeover Bid
Summary
Mitek Systems, which is being targeted for takeover by a subsidiary of Elliott, billionaire Paul Singer’s activist hedge fund, has unanimously rejected its $380 million offer.ASG offered to pay $10 per share for Mitek (NASDAQ: MITK ), which has developed technology that is used for mobile document capture and digital identity verification.Elliott, which is based in New York, has been snapping up Mitek stock and other securities, accumulating enough to become one of its largest investors, according to ASG.But an unexpected announcement in late August revealing that its CEO and chief financial officer were leaving the company resulted in a one-day, 15-percent drop in its stock price.Mitek’s board of directors on Monday accused ASG of acting opportunistically, asserting that its proposal—which boosted Mitek stock by 14 percent—undervalued the company.
