Tungsten Corp to be taken over by Sweden's Pagero in £61.5m deal

Invoice processing company Tungsten Corp said on Monday that it was withdrawing its backing for a takeover by US buyout group Kofax in favour of a better offer from Swedish smart business network provider Pagero, at £61.5m.

Tungsten had previously agreed to be bought by Kofax for 42p a share, or £53.7m. However, it said earlier that it had decided to back a higher offer from Pagero at 48p a share, which is a 14% premium to the Kofax offer.

"In evaluating the offer, the directors of Tungsten have considered various aspects of the Pagero offer and consider the Pagero offer to represent a higher offer for Tungsten's shareholders as compared with the Kofax offer," it said.

At 1225 BST, Tungsten shares were up 8.3% at 49.10p.

Founded in 2000 and headquartered in London, AIM-listed Tungsten invoices for 60% of the FTSE 100 and 68% of the Fortune 500.