Oct 15 (Reuters) - British outsourcing group Capita Plc received lower-than-expected final offers for its Education Software Solutions unit, Bloomberg News reported on Thursday, citing people with knowledge of the matter.
The London-listed company in June put the division, whose platform SIMS is used by 21,000 schools in England, Wales and Northern Ireland, up for sale to secure at least 500 million pounds ($645.80 million).
Capita declined to comment on the Bloomberg report.
Shares of the company closed down 7.5% at 25.84 pence on Thursday and at that price the company has market capitalisation of about 432 million pounds.
Last month, a source told Reuters that European private equity house CVC Capital Partners was exploring a possible bid for the unit, adding the Capita had also reached out to other buyout funds.
According to Bloomberg, private equity firms Bain Capital and TPG, which had earlier been pursuing the unit, dropped out of the process and did not submit binding proposals by this week's deadline. (bloom.bg/3lMSIOo)
Bain Capital and TPG did not immediately respond to Reuters’ requests for comment.
Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time.
Sign up for a free trial of our full service at https://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and at www.breakingviews.com. All opinions expressed are those of the authors.