Translation software firm SDL has raised the price it is willing to pay for Alterian, paving the way for the smaller software company to enter talks.
Alterian said it has received an indicative all-cash offer from SDL of 110p a share, following its rejection last month of SDL’s initial 80p a share approach.
Its shares surged almost 14 per cent yesterday to hit 99p.
A deal with marketing and web content firm Alterian would expand the customer base of SDL, which has moved into managing web content from its background in translation.
Alterian has struggled in recent times, issuing a profit warning in April and announcing deep cost and workforce cuts last month. On the eve of announcing the approach, its shares had fallen around 70 per cent since the beginning of the year.
SDL has until 21 November to make a firm offer for Alterian or walk away, under UK takeover rules.