Humm’s long-running takeover saga has snapped after the bidder tried to slash its price, leaving a bruised target in no mood to compromise.
The revised Credit Corp proposal reportedly dropped to about 60c per share, only via a scheme, and demanded full board support.
Humm’s original deal on the table late last year offered investors 77c per share under a scheme of arrangement or 72c per share through an off-market takeover.
That structure valued Humm at roughly $385m and gave shareholders two clear pathways to cash out.
Credit Corp, advised by Macquarie, then put the company through detailed due diligence amid increasing public scrutiny.
Governance tensions and regulatory attention shaped every step of the process.
During that due diligence phase, Humm became entangled in a saga involving its founder, an activist shareholder and the Takeovers Panel, which examined aspects of control and conduct.
Credit Corp responded by materially cutting its price expectations and tightening conditions to a scheme only, on the basis that it wanted full board endorsement.
Humm had been working to strengthen its governance framework during the process and saw the revised terms as misaligned with those improvements.
Its independent board committee declared the new offer unacceptable and walked away.
Market watchers note that Humm’s stance now contrasts sharply with the early days of the approach, when its then chair dismissed the initial 77c proposal as not compelling.
That history makes the 60c figure look like a significant backward step, not just a negotiation tweak.
The episode highlights how governance disputes, activist pressure and regulatory review can erode deal confidence and pricing power.
Humm now looks set to explore alternatives, including a possible breakup, rather than accept a deal it views as undervaluing the group.
