UK banking systems vendor Misys says it has ended talks with potential buyers of Sesame, its IFA services network, after failing to agree a price for the business.
Misys shares fell 12.25 pence to 222.25 in mid-morning trading after the vendor released a statement saying it had not been able to achieve a sale price for Sesame "that reflects good value for the business in relation to its asset value and long-term prospects".
However Misys says it continues to believe that Sesame is not core to the company's strategy, but it will continue to own and manage the business "for the foreseeable future".
Kevin Lomax, chief executive, Misys, comments: "The transition of Sesame's business model to encompass directly regulated revenue streams such as multi-tie and additional income from new business areas, is progressing well. We have concluded that this progress was not going to be fully reflected in the achievable price. In light of this, we have come to the view that this is not the right time to sell Sesame."
In a separate move the vendor has sold its general insurance broking systems business to private equity firm Montagu Private Equity Limited for £182 million in cash.
Earlier this week Misys paid EUR12 million for French trade finance technology firm NEOMAlogic.