Shareholders in payments company Earthport (EPO) must have thought they had woken up this morning in a dream. There is an agreed cash offer for the company from Visa at 30p when it was trading at 7p before Christmas.
I did hold Earthport in the past, but although revenue rose over the years profits consistently remained negative. Management changes and continual fund raising did not impress either. My last sale was at 32p in January 2016 for an overall small loss so I am glad I did not hold on.
Did they have some useful technology that Visa can employ? Perhaps so but this was clearly an offer management could not refuse.
Roger Lawson (Twitter: https://twitter.com/RogerWLawson )
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