StoneX Group has abandoned its takeover bid for CAB Payments Holdings after failing to secure backing from Helios Investment Partners, the company's largest shareholder owning approximately 45% of the firm. The US financial services group had raised its indicative offer to 110 pence per share from an earlier 95 pence approach, valuing the company at roughly £287 million, but Helios declined to support the proposal, leaving StoneX without the shareholder backing required under UK takeover rules.
Why StoneX Walked Away
CAB Payments' independent board said it would be "minded to recommend" StoneX's revised 110 pence proposal. However, the deal required support from Helios, which as a majority stakeholder could block the transaction. Without Helios' backing, StoneX lacked the necessary shareholder support to proceed.
Helios' Rejection and Governance Concerns
The rejection has exposed a split between CAB's independent board and its largest shareholder over valuation. CAB said it was "deeply concerned" that Helios' stance had prevented minority shareholders from considering the higher cash offer.
The governance issue is sharpened by Helios' own consortium bid to take CAB private at a lower valuation, reportedly around 85 pence per share—below StoneX's 110 pence proposal and far below CAB's 335 pence IPO price in 2023. As both controlling shareholder and bidder, Helios now faces scrutiny over whether its interests are aligned with minority investors.
Why StoneX Was Interested in CAB Payments
CAB Payments operates in cross-border payments and foreign exchange, with a focus on emerging markets. Its network gives clients access to harder-to-reach jurisdictions where liquidity, settlement, and local connectivity can be difficult. That footprint could have complemented StoneX's institutional foreign exchange and payments business.
CAB's recent financial performance strengthened the case for a higher valuation. For 2025, total income rose 12% year on year to £119 million, while adjusted EBITDA increased 14% to £35 million. Payment and foreign exchange volumes rose 13% to £41.9 billion, with active clients reaching 592. The company also reported that first-quarter 2026 income rose approximately 35% from a year earlier, suggesting improved activity after earlier operational setbacks and profit warnings.
What Happens Next
With StoneX stepping aside, attention turns to the Helios-led consortium proposal. The lower bid will now be judged against both CAB's recent recovery and the higher offer that the board was prepared to support. The dispute leaves CAB in a control-driven transaction rather than a simple sale process, with the independent board appearing willing to support a higher cash exit while Helios pursues a lower-priced private transaction. The outcome will depend on whether minority shareholders accept Helios' terms or push for a better price after StoneX's 110 pence proposal demonstrated that another buyer saw greater value in the business.
