UK online lender Wonga.com Ltd has terminated negotiations over the acquisition of US-based On Deck Capital Inc after the parties proved unable to settle pricing disagreements, Bloomberg reported citing sources in the know.
The two companies started talks late in 2012, discussing a deal whose value could have stood at slightly less than USD250m (EUR185m), Bloomberg was told.
On Deck is a New York-based company that specialises in lending to small businesses. Its acquisition would have allowed Wonga to secure a US foothold. In addition, it would have provided the UK suitor with technology making it possible to improve its creditworthiness assessment of small business customers, the article said.
Bloomberg could not extract a comment from Wonga spokesman John Moorwood, while On Deck’s senior marketing VP Andrea Gellert left the comment request without an immediate response.