Network International ‘minded to recommend’ CVC takeover

Network International has said it is “minded to recommend” a 387p-a-share bid from a private equity consortium of CVC Capital Partners and Francisco Partners.

In a statement, the board of London-listed Network International said it had agreed to provide the consortium with access to confirmatory due diligence.

Shares in Dubai-based Network International rose almost 20% yesterday on the news, later buoyed by financial results which showed a 13% revenue rise in the first quarter as signings grew significantly.

The FTSE 250 payment company, which focuses on the Middle East and Africa, said revenue rose 21% in its merchant services, as total processed volume grew 26% on year.

Network International confirmed its guidance for the full year, with a targeted high-teens revenue growth and slight margin expansion in earnings before interest, taxes, depreciation and amortisation. It expects 2023 to be weighted toward to second half-year, it said.

CVC has declined to comment on the bid.

To contact the author of this story with feedback or news, email Mark Latham

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