UK electronic payments firm earthport says it has abandoned plans to acquire former Internet security company Baltimore Technologies.
Earthport said in December it was considering making a cash and shares bid for Baltimore and was given until noon today by the Takeover Panel to make a move.
In today's statement earthport says the movement of AIM-listed Baltimore's share price means it is no longer in the best interests of its shareholders to proceed with an offer. Baltimore shares fell 197.50 pence, or 8.8%, to 2042.50 pence in mid-day trading.
Baltimore is planning to de-list from the stock exchange and consolidate its share structure in anticipation of a future disposal of the business and its remaining assets.
In today's statement, Earthport also says it intends to continue pursuing Baltimore for £4.5 million damages in relation to a deal signed between the two companies in 2001.