APM shares rise on revised CVC takeover bid
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The news: Shares in APM Human Services International rose 13.8% by 3:48pm AEDT on news of a revised takeover bid from CVC Asia Pacific.
The numbers: The new bid offers $2.00 cash per share, up from the original $1.60 proposed on 16 February.
The revised proposal represents a premium of 141% to the closing share price of $0.83 on 16 February when CVC made their initial offer and a 42% premium to the closing share price on 27 February.
The context: APM rejected the private equity firm’s prior bid earlier in the month, saying the proposal did not sufficiently reflect the fundamental value of APM and the potential of its market-leading platform globally.
Now, APM has formed an independent board committee to consider the revised proposal and to engage with CVC.
What they said: “The independent board committee and the full board, after carefully considering the revised proposal and obtaining feedback from key shareholders, has determined that it is in the best interests of APM’s shareholders to re-engage with CVC and to grant CVC a four-week period of exclusivity to 27 March 2024,” the announcement said.
The source: ASX announcement
