Excitement around one of the larger early-year deals on the ASX will have to wait as Boral (ASX:BLD) told shareholders on Monday to take no action regarding Seven Group Holdings’ (ASX:SVW) takeover offer for the construction giant.
Within the next two weeks, Boral will fire off a Target’s Statement for its own shareholders to absorb in due course.
In other words: the board needs a while to figure this one out.
A cynic might even say Boral are buying themselves time, as the construction sector continues to flounder – though, for such a large company, this kind of thing is part and parcel.
SGH is offering 11 of its own shares and $1.50 cash for every Boral share not currently owned by SGH.
Boral was also quick to note that SGH is obliged by law to keep its offer open for one month, officially April 4, indicating that Boral shareholders will have a fortnight to properly assess the deal, and, Boral’s response.
“Over the coming weeks, Boral will also set up a shareholder information line, which shareholders can call for further details,” Boral wrote on Monday.
Boral (ASX:BLD) shares last traded at $6.05.
Shares in SGH, meanwhile, are worth $39.50 – and the stock’s at all time highs.