Shares in Gold Coast company IncentiaPay jump 54.55 per cent amid takeover speculation and withdrawal of key investor

GOLD Coast listed consumer payment company Incentia Pay has confirmed a takeover may be imminent after a flurry of trading saw its price spike 54.55 per cent in a day.

IncentiaPay is rolling out Chinese mobile payment method Alipay on the Gold Coast. Nopphaket Maleenant pays for her meal at Chong Co Thai Pacific Fair with Alipay. Picture: Jerad Williams

GOLD Coast listed consumer payment company Incentia Pay has confirmed a takeover may be imminent after a flurry of trading saw its price spike 54.55 per cent in a day.

More than 20 million shares in the company, which sold its Bartercard and Gruden businesses last year, were traded on Friday, shifting the price from a daily low of 5.1c to 8.5c.

The frenetic session followed a wholesale sellout of the company by LHC Capital Partners, ranked as its second biggest shareholder with more than a 10 per cent stake, which offloaded its 25.6 million shares in and on-market sale.

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Annual report of IncentiaPay. Photo: Supplied

A statement this morning from Ben Newling, whose appointment was announced in a separate statement at the same time, confirmed INP had “received expressions of interest, including non-binding indicative proposals to recapitalise or consider change of control transactions”.

“However, all proposals received are incomplete, subject to conditions, not binding and there is no certainty that the proposals will lead to a recapitalisation, takeover offer or control transaction for the Company,” the statement said.

“A number of parties have also requested further time for due diligence. Consistent with ASX guidance, INP has not previously disclosed these approaches, given their conditional and confidential terms.

“But given recent trading activity, the board wishes to confirm that while it has appointed Pier Capital as its financial adviser and Gilbert & Tobin as its legal adviser to assist in considering any and all proposals, the board has not yet decided on any course of action regarding proposals received as they are all incomplete and lack certainty.”

The price softened yesterday, dropping 8.23 per cent to 7.8c by market close.

The company changed its name from BPS Technology in 2018 and logged a $62 million loss.

Management changes also included founding CEO Trevor Dietz stepping down in the wake of a push by fund managers for a clean sweep of the board.

Mr Newling said the company would tell the market if progress was made on any proposal.

“The Company is not aware of any other explanation for the price change and increase in trading volume in the securities of the Company,” the statement said.

Previous company secretary Laura Newell resigned this morning without further explanation from INP.