UK’s Alfa Financial tumbles as EQT drops buyout pursuit

(Reuters) – Investment firm EQT said on Friday that it did not plan to make a buyout offer for UK’s Alfa Financial Software <ALFAAL.L>, sending shares in the London-listed company 25% lower.

Last month, EQT said it proposed to buy Alfa Financial Software, which provides software for the asset finance industry, for 614.4 million pounds ($786.06 million), or 208 pence per share.

Shares in Alfa dropped 25% to 146 pence by 1403 GMT on Friday’s announcement by EQT.

The private equity firm said on Friday the irrevocable undertaking with CHP Software and Consulting Limited – controlled by Alfa Chairman Andrew Page – relating to the possible offer had terminated and ceased to be binding.

($1 = 0.7816 pounds)

(Reporting by Eva Mathews and Yadarisa Shabong in Bengaluru; Editing by Pooja Desai)