Long Path strengthens backing for proposed Idox acquisition

(Sharecast News) - Long Path announced on Monday that it has strengthened shareholder backing for its proposed acquisition of Idox after securing a new letter of intent and updating on existing commitments tied to the sterling cash offer announced last week.

The private investment firm said Mission Trail Capital Management had delivered a non-binding letter of intent to vote in favour of the scheme of arrangement covering 13.83 million Idox shares.

That took the total number of Idox shares subject to irrevocable undertakings and letters of intent to 119.77 million, representing about 25.94% of the software company's issued share capital as of 31 October.

The update also reflected a slight reduction in shares covered by a previously-announced letter of intent from Rathbones Investment Management, which sold some holdings late last month.

Rathbones' commitment now covers 35.11 million shares, or roughly 7.61% of Idox's issued capital, down from 35.20 million previously.

Long Path, which already owns 56.88 million Idox shares - equivalent to 12.32% of the register - announced on 28 October that its newly formed vehicle, Frankel UK Bidco, would acquire the remaining issued and to-be-issued shares of Idox through a court-sanctioned scheme of arrangement.

The company said Idox remained in an "offer period" under the Takeover Code.

At 1536 GMT, shares in Idox were up 0.17% at 70.72p.

Reporting by Josh White for Sharecast.com.