Gamma Communications, a British telecommunications company, has postponed a key shareholder vote on a proposed £1 billion takeover by private equity firm Epiris. The decision delays the meeting until November 2 after the company received fewer than 40 percent of eligible votes, falling short of the level required to proceed.

Gamma Communications, which offers phone, messaging, and video meeting services to business clients, is set to be acquired by the London-based private equity group. The transaction would result in the company being delisted from the FTSE 250 index, following a trend of London-listed firms exiting the stock market through takeovers and other high-profile departures this year.

The board attributed the shortfall in voting participation to a recent surge in activity from merger arbitrage funds, which have increased their holdings in Gamma shares as the deal approached. Despite the delay, Gamma’s board continues to unanimously recommend acceptance of Epiris’ offer of 1120 pence per share.

Gamma’s shares declined by approximately 1 percent, or 11 pence, to 1091 pence in early trading. This follows a gain of more than 20 percent in the stock price over the course of the year, driven by growing speculation surrounding the potential acquisition.

If the takeover receives shareholder approval at the rescheduled meeting, Gamma will join other companies that have recently left the London stock exchange through private equity buyouts or other forms of corporate restructuring. The outcome of the vote will be closely watched by investors given the ongoing interest in mergers and acquisitions within the British telecom and technology sectors.