Jan 19(Reuters) - Britain's Auction Technology on Monday turned down the most recent bid from FitzWalter Capital that values the company at 491 million pounds ($657.84 million), saying the offer
Auction Technology Declines FitzWalter's $658 Million Buyout Offer
Auction Technology's Rejection of Buyout Offer
Jan 19 (Reuters) - Britain's Auction Technology on Monday rejected FitzWalter Capital's sweetened buyout approach, saying the proposed 491 million pound ($657.8 million) bid from its biggest shareholder undervalues the company and its future prospects.
Shares of the online auction operator, which halved in value last year, were down 1.2% at 357.5 pence by 0807 GMT. They have gained 8.1% since FitzWalter's interest was first made public in early January.
The latest offer of 400 pence per share marked the London-based investment firm's 12th approach for Auction Technology, since talks began last September.
Details of the Bid
Auction Technology, which connects buyers and sellers of antiques and art through auction platforms, said on Monday that its board had not received a customary letter with full terms and conditions of the increased offer from FitzWalter.
Company's Response
"The board, mindful of its fiduciary duties, stands ready to constructively engage with FitzWalter, or any other party, if a comprehensive proposal that reflects fair value is presented to it," Chair Scott Forbes said in a statement.
FitzWalter's Stake and Criticism
FitzWalter has previously accused its target of failing to engage constructively and has been critical of its management and declines in profitability.
Auction Technology, meanwhile, has described the takeover approaches as opportunistic.
FitzWalter, which holds a more than 21% stake in Auction Technology, did not respond immediately to a request for comment on the latest rejection.
Upcoming Trading Update
Under UK takeover rules, FitzWalter needs to make a firm offer by February 2 or walk away.
Auction Technology will announce a trading update this week. The company's adjusted core profit in the year to September 30 was down 4% at 76.8 million pounds.
($1 = 0.7464 pounds)
(Reporting by Rishab Shaju in BengaluruEditing by Janane Venkatraman and David Goodman)
