HR Owen accepts takeover offer
13 September 2013 - 6:52am | devsupport
HR Owen has recommended shareholders accept an increased takeover offer of 170p a share from Berjaya Philippines Inc. (BPI) issued yesterday (Thursday, 12 September 2013).
The HR Owen board said accepting the BPI offer at this level represents a fair value for the company.
At 170p, up from the previous offer of 130p a share first offered on 17 July 2013, this represents a 40.5% premium over the closing price of 121p on 16 July 2013.
In a stock exchange statement HR Owen said: In coming to this conclusion the board has considered the limited liquidity and marketability of HR Owen’s shares and the fact that the increased offer is final and will not be increased (except that BPI has reserved the right to revise and / or increase the offer if a competitive situation arises, a situation the Board believes is highly unlikely).
Shareholders now have until 1pm on 27 September 2013 to accept the BPI offer.
BPI is the investment firm controlled by Vincent Tan who also owns Cardiff City football club.
BPI increased its offer from 130p to 170p a share on 12 September 2013 following the announcement that it had a 40.8% stake in the prestige dealer group after purchasing a 10% stake at 170p a share from JP Morgan.
The new offer values HR Owen at £43.2 million.