Australia’s Virtus Health considers revised bid from BGH in takeover battle with CapVest
By Riya Sharma and Sameer Manekar
(Reuters) – Australian fertility companies supplier Virtus Well being stated on Wednesday it would think about a revised buyout provide from minority proprietor BGH Capital, weeks after it accepted a sweeter bid from rival suitor CapVest Companions.
In a takeover battle that has seen Virtus shares climb 55% since final December, personal fairness agency BGH Capital, which already owns 19.9% of Virtus, is now providing A$8.0 per share, valuing the in vitro fertilisation (IVF) specialist at A$683.5 million ($518 million) in complete.
The revised provide is at a reduction of 0.9% to Virtus’ final closing inventory value, and is 4.6% greater than BGH’s earlier provide of A$7.65 apiece.
Melbourne-based BGH’s new proposed bid comes weeks after Virtus unanimously really useful to shareholders – together with BGH – a money provide of A$8.25 per share from funding agency CapVest, valuing Virtus at A$704.8 million. Virtus’ take care of CapVest permits it to think about a superior proposal from BGH or one other get together.
London-based CapVest didn’t instantly reply to a Reuters request for remark.
“Virtus board is contemplating the BGH takeover bid, and specifically, whether or not it constitutes a ‘superior proposal’ below the transaction implementation deed signed with an entity managed by CapVest Companions,” Virtus stated in a press release.
Shares in Virtus which has operations in Australia, Eire, Denmark, Britain and Singapore, had been up 0.7% at A$8.13 as of 0251 GMT whereas the broader market was down 0.7%. [.AX]
BGH’s new off-market takeover bid is structured as an all-cash provide, with no reliance on any tax rulings or capital returns, the personal fairness agency stated.
The provide would offer shareholders with “a chance to divest as a lot Virtus inventory as they deem acceptable” with out having to pay brokerage charges, BGH stated.
($1 = 1.3200 Australian {dollars})
(Reporting by Riya Sharma and Sameer Manekar in Bengaluru; Modifying by Maju Samuel, Sherry Jacob-Phillips and Kenneth Maxwell)
