Pacific Smiles shares jump on private equity bid
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More news: Shares in Pacific Smiles have jumped more than 18% to $1.42 in early trading on the ASX after the dental services chain received an unsolicited takeover offer from private equity firm Genesis Capital. The target company said its board would assess the merits of the indicative proposal, but has called the bid "opportunistically timed".
Pacific Smiles calls private equity bid ‘opportunistically timed’
The news: Dental services chain Pacific Smiles says it has received an unsolicited, non-binding takeover bid from private equity firm Genesis Capital.
The numbers: Genesis has offered $1.40 a share to Pacific Smiles shareholders, a 16.66% premium to the company’s closing price of $1.20 on Friday. The private equity firm could also allow the dental chain’s shareholders to roll their shares into unlisted equity. Genesis has already acquired an 18.75% stake in the target company.
The context: Pacific Smiles said while its board would assess the merits of the indicative proposal, it considers the bid to be "opportunistically timed" and urged shareholders not to take any action at this time. Shares in the company are down nearly 23% so far this year.
The source: ASX announcement
