Monday 11th February 2019 |
Text too small? |
The independent report on Australia-based GWA’s $118 million takeover offer for taps maker Methven says the offer is at the top of its valuation range.
GWA is offering $1.60 per share for Methven via a scheme of arrangement and has also agreed that the company can pay out up to 5 cents per share in dividends, taking the effective price to $1.65.
Grant Samuel has valued Methven shares at $1.41-1.60 and says that includes a premium for control.
Methven’s cornerstone investor, Brendan Lindsay, who owns 19.9 percent, has already given the offer his blessing and directors have committed another 2.1 percent and have unanimously recommended other shareholders accept the offer in the absence of a superior proposal.
To secure control, GWA needs the support of shareholders owning 75 percent of shares voted at a special meeting set for Tuesday, March 12. That is a lower barrier than the 90 percent threshold for a takeover offer under the Takeovers Code.
The shares recently traded at $1.58.
(BusinessDesk)
No comments yet
September 19th Morning Report
Smartpay Scheme Booklet and Notice of Meeting
September 18th Morning Report
Seeka Increases Forecast Full Year Earnings Guidance
TEM - Ability to invest in derivatives
Devon Funds Morning Note - 16 September 2025
September 17th Morning Report
MPG - Recapitalisation Closes Oversubscribed, Raises $23.9m
IPL - Indicative Issue Margin Range for Notes Offer
TWG partners with Tata Consultancy Services