FD Technologies has proposed a tender offer to return up to £120m to shareholders, following the disposal of its first derivative business to EPAM Systems, Inc.

Under the plans, the tender offer would offer qualifying shareholders £19.50 per share by acquiring up to 6.15 million ordinary shares prices at 0.005 pence.

The provider of products and consulting services to finance, technology and energy institutions stated that its offer represents a premium of 3.7% on its closing price on 18 December and that it intends to cancel all ordinary shares acquired in connection with the tender offer.

FD Technologies said it had been "considering the options to maximise shareholder value" for over 18 months.

The announcement follows the merger of its MRP business with CONTENTgine, as well as the sale of its first derivative business for £236.1m, which completed earlier this month.

The firm added that participation in the offer is optional, with shareholders being able to either reduce their holdings or maintain their investments, adding that it was exploring a supplementary special dividend, should the full £120m not be used through the tender offer.

FD Technologies’ board has unanimously recommended shareholder vote in favour of the resolution.

However, its directors have stated that they do not intend to participate in the offer for their personal holdings.

The tender offer is set to open on 20 December and will close on 22 January.

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