Clarity Commerce rejects Enigmatic's £9.5m offer

4th Oct 2011 07:43

Clarity Commerce has rejected Enigmatic Investments' £9.53m cash offer calling it "highly opportunistic" as it undervalues the software solutions firm and its prospects."As a result the board strongly advises shareholders to take no action in respect of the offer and to reject the approach. The directors are unanimous in their rejection of the offer," Clarity said.The offer, made on 27 September, was at a price of 23p per Clarity share, representing a premium of 51% to the closing price of 15.25p the day before. Shares have since jumped to 22p.Clarity claims that Enigmatic - which already holds a 9.22% stake in the company - has failed to reflect the strengths of the business, which are: "leading edge customer engagement software; a global blue chip customer base; a high level of contracted recurring revenues from support and maintenance; and a high proportion of follow on business from existing customers."BC