Vista Equity Partners plans to bid about 1.3 billion pounds ($2.1 billion) for British financial software company Misys Plc, a person with knowledge of the matter said.
The San Francisco-based private equity firm may offer about 350 pence a share for Misys, said the person, who declined to be identified because the offer is not public yet. Misys shares rose 2.2 percent to 329.5 pence on March 16 in London trading. The stock has gained 42 percent this year.
Misys formed an independent committee of directors to weigh an offer from Vista and a joint bid from ValueAct Capital, its largest shareholder, and CVC Capital Partners Ltd. Vista last month made a non-binding proposal to acquire all of Misys for cash. The company has until the close of the U.K. market today to state its plans for a bid. A firm offer may not come by then, the person said.
Misys previously held merger discussions with Temenos Group AG, a Geneva-based provider of software to the banking industry. Those talks, which would have created the largest vendor of banking software, broke down earlier this month.
Previous talks for a sale of Misys to Fidelity National Information Services Inc. collapsed last year when the two failed to agree on price, a person with knowledge of the matter said at the time.
Companies that sell financial software to businesses are proving attractive to private-equity firms as mounting banking regulations increase demand. In August, Bain Capital agreed to buy a majority stake in MYOB Ltd., an Australian provider of business software that had also drawn a bid from Sage Group Plc.
Misys makes software for cash, wealth and risk management as well as for syndicated lending, over-the-counter derivatives trading and post-trade processing. It has more than 1,300 banking customers.