Close the Loop (ASX:CLG) said it ended talks with Adamantem Capital regarding its earlier proposed acquisition of the firm, according to a Wednesday Australian bourse filing.

Adamantem had placed an indicative proposal to acquire 100% of the shares in the firm via a scheme of arrangement, for AU$0.27 per share, the filing said.

Close the Loop said the proposal involved "considerable complexity" and the firms were not able to agree upon the commercial terms for the proposed deal.

The firm added that while it expects its revenue for the fiscal first half to be broadly in line with the prior corresponding period, earnings before interest, taxes, depreciation, and amortization are expected to be in the range of AU$11 million to AU$13 million, following the review of recent information received from the various business units.

The earnings were impacted by a temporary unfavorable shift in the business mix and a delay in opening the Mexicali facility.

The firm's shares fell 34% in recent trading on Wednesday, to their lowest price to date.