Team Internet Group shares sink as bidder backs out

Online marketing and web services firm Team Internet Group has revealed that one of the two parties that approached the firm regarding a possible takeover this week has walked away, causing shares to sink sharply on Friday.

The stock jumped by almost a third on Tuesday following the announcement that both TowerBrook Capital Partners and Verdane Fund Manager had approached the company, with each proposing a price of 125p per share – a 37% premium to Monday's closing price of 91p.

TIG said it was "considering both approaches with its advisers" and that the potential suitors had until 4 February to 'put up or shut up.

However, New York-based TowerBrook has now backed out, saying it doesn't intend to make an offer.

TIG's shares were down 11% at 104.8p after hitting a high of 118p earlier in the week.