Mobile donations company Pushpay Holdings has appointed a financial advisor after receiving unsolicited offers to buy the business.
The company provides mobile donation services to churches and charities in North America. Photo: 123rf
In a note to the stock exchange the company said aside from the non-binding offers, it was also the subject of conditional expressions of interest from third parties.
Pushpay, which provides mobile donation services to churches and charities in North America, did not reveal who the interested parties may be but said it had appointed the investment bank Goldman Sachs to handle the offers.
"There is no certainty that these expressions of interest or approaches will result in any transaction," it said.
The company's share price had fallen by more than 50 percent from the highs it reached during the early months of the pandemic to $1.03 per share before the market opened on Tuesday.
Pushpay was a benefactor of the 2020 lockdowns because the restrictions on in-person church gatherings in the US prompted a surge in online donations that sent its share price to a high of $2.35 in July 2020.
However, the stock had been on a downward trend since November 2020 as it encountered greater competitions from rivals and recorded lower donations per member which it chalked up to online church fatigue.
Pushpay also reaffirmed its profit expectations for the year ended March this morning, saying it expected its underlying earnings would be between US$61.5 million and US$63.5m, compared with US$57.6m a year ago.
The company's share price had jumped 26 percent in early trading on the news to $1.30 per share.