27 September 2016
Find out more

London Bridge accepts Fair Isaac bid approach

26 April 2004  |  8665 views  |  0 stock exchange

Credit scoring firm Fair Isaac UK is set to acquire debt management software house London Bridge for approximately £166.2 million.

The unsolicited bid values each London Bridge share at 95 pence, a generous 54% premium over Friday's closing price of 61.5 pence, but well down on the firm's £64 per share dotcom bubble valuation. Fair Isaac says the offer has been irrevocably accepted by London Bridge founder and chairman Gordon Crawford and fellow directors who own 46.2% of the firm's share capital.

Operating profit at London Bridge nudged above break-even to £329,000 for the year-ended 31 December 2003, against losses of £48.3 million in 2002, including £35.9m in goodwill impairment from headcount reductions and consolidation of US operations.

Crawford will continue to work with the enlarged group through a consultancy arrangement for a period of 12 months. Jon Lee and Gordon Stuart, London Bridge CEO and group finance director will stay in their current roles.

Crawford says Fair Isaac is not only gaining a strong platform to develop its UK and European business but also to reinforce its position in the US.

"Customers of both companies will have access to a broader range of products and services across the entire origination through to collections and recoveries cycle," he says.

Commenting on the offer, Tom Grudnowski, CEO of Fair Isaac, says: "The acquisition of London Bridge fits clearly within Fair Isaac's strategy of adding other mission-critical vertical applications to its existing portfolio of analytics applications and decision management solutions. Our businesses are highly complementary and we expect the acquisition of London Bridge to create benefits for both companies' customers and employees."

Once the offer is declared unconditional, London Bridge will delist from the London Stock Exchange and be re-registered as a private company.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Akbank deploys Fair Isaac customer management products

Akbank deploys Fair Isaac customer management products

24 February 2004  |  4423 views  |  0 comments
Recurring revenues push London Bridge back into black

Recurring revenues push London Bridge back into black

12 February 2004  |  2388 views  |  0 comments
London Bridge reports pick-up in demand

London Bridge reports pick-up in demand

16 January 2004  |  2548 views  |  0 comments
Visa EU releases fraud detection system

Visa EU releases fraud detection system

08 January 2004  |  9261 views  |  0 comments
Republic Bank live with London Bridge software

Republic Bank live with London Bridge software

18 November 2003  |  2798 views  |  0 comments
Deutsche Bank implements Fair Issac decision support system

Deutsche Bank implements Fair Issac decision support system

28 August 2003  |  4460 views  |  0 comments
Cost controls keep London Bridge in trim

Cost controls keep London Bridge in trim

07 August 2003  |  2505 views  |  0 comments
Co-operative Bank selects Fair Isaac decision support application

Co-operative Bank selects Fair Isaac decision support application

06 August 2003  |  3131 views  |  0 comments
London Bridge and Global Bank of Commerce establish Caribbean ASP

London Bridge and Global Bank of Commerce establish Caribbean ASP

06 August 2003  |  3154 views  |  0 comments
HSBC first client for Fair Isaac fraud referral system

HSBC first client for Fair Isaac fraud referral system

09 July 2003  |  4175 views  |  0 comments
Flag Financial signs with London Bridge for Phoenix System

Flag Financial signs with London Bridge for Phoenix System

04 June 2003  |  2786 views  |  0 comments
Brief: London Bridge buoyed by Vectus order

Brief: London Bridge buoyed by Vectus order

10 April 2003  |  2700 views  |  0 comments
London Bridge racks up losses

London Bridge racks up losses

06 February 2003  |  3415 views  |  0 comments
London Bridge Software acquires AFA stake under business alliance

London Bridge Software acquires AFA stake under business alliance

03 February 2003  |  3606 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit capgemini.comFind out moreVisit VocaLink.com

Who is commenting?

A Finextra member Finextra Member Commented on: PSD2 - opportunities,...
A Finextra member Finextra Member Commented on: R3 banks use Intel dis...

Top topics

Most viewed Most shared
RBS tests demonstrate ability of Ethereum to support a national domestic payments systemRBS tests demonstrate ability of Ethereum...
13669 views comments | 52 tweets | 47 linkedin
Banks test blockchain for reference data managementBanks test blockchain for reference data m...
8668 views comments | 16 tweets | 27 linkedin
Swift beware: Ripple signs banks to global payments steering groupSwift beware: Ripple signs banks to global...
8542 views comments | 32 tweets | 17 linkedin
FCA to kickstart sandbox with 24 applicantsFCA to kickstart sandbox with 24 applicant...
7066 views comments | 33 tweets | 15 linkedin
Banks clubbing together to tackle KYCBanks clubbing together to tackle KYC
6881 views comments | 3 tweets | 8 linkedin

Featured job

Find your next job