- Kin Group intends to put forth an unconditional $234 million off-market takeover bid for Pact Group (PGH)
- The former company announced its intention to make an offer at 68 cents per PGH share
- PGH Board has advised shareholders to “take no action” at this time
- The company will appoint independent advisers to weigh up the deal
- PGH shares are up 6.67 per cent, trading at 72 per cent at 12:52 pm AEST
Kin Group has announced its intention to make an unconditional $234 million off-market takeover bid for Pact Group (PGH).
Through its subsidiary, Bennamon Industries, Kin Group plans to offer an all-cash deal of 68 cents per share for all ordinary shares in Pact Group.
Kin Group already holds a controlling interest of more than 50 per cent in Pact, making it highly unlikely that a competing offer will emerge.
Additionally, Kin Group intends to delist Pact from the ASX when feasible, believing that private ownership is the best path for Pact’s success.
Pact Group has faced recent challenges, including its removal from the S&P/ASX 300 index and limited institutional investor support.
The PGH Board has advised shareholders to “take no action” at this time.
The company will now appoint independent advisers to assess the deal.
PGH shares were up 6.67 per cent, trading at 72 per cent at 12:52 pm AEST.