ABA
27/04/2016 10:15
GENERAL
PRICE SENSITIVE
REL: 1015 HRS Abano Healthcare Group Limited
GENERAL: ABA: ABA receives unsolicited indicative proposal for Bay Audio
ABANO RECEIVES UNSOLICITED INDICATIVE PROPOSAL FOR BAY AUDIO
Abano Healthcare Group Limited advises that it has received an unsolicited
non-binding indicative proposal from an international hearing device
manufacturer to acquire Abano's 50% shareholding in Bay International
Limited.
Bay International Limited, a 50:50 joint venture with interests associated
with Peter Hutson, owns Bay Audio, a growing audiology retail network in
Australia with a smaller footprint in South East Asia.
The indicative consideration for the 50% shareholding is in excess of $30m,
compared with a current book value of $11.9m.
Following consideration of the proposal, Abano will proceed with further
discussions with the hearing device manufacturer and has initiated a
divestment process in respect of its shareholding under the Bay International
Limited shareholders agreement.
The shareholders agreement provides a process and timetable for due diligence
and a final unconditional offer to be made. This offer would then be subject
to normal pre emptive rights, in favour of Abano's joint venture shareholder.
This includes a right, sometimes referred to as a tag along right, for those
shareholders to require an exit on no less favourable terms than those
applicable to Abano. It is expected that this process will take three to four
months and there is no guarantee that a sale will eventuate.
ENDS
Released on behalf of Abano Healthcare Group Limited by Jackie Ellis tel +64
9 360 8500 or email [email protected]
For more information, visit www.abanohealthcare.co.nz or please call:
Richard Keys
Chief Executive Officer
Tel: +64 9 300 1413 Mob: +64 274 818368 Rachel Walsh
Chief Financial Officer
Tel: +64 9 09 300 1671 Mob: +64 21 443615
Abano Healthcare Group is New Zealand's leading listed specialist healthcare
investor and operator, with businesses in three sectors - dental, audiology
and radiology - and operations across New Zealand, Australia and South East
Asia.
End CA:00281357 For:ABA Type:GENERAL Time:2016-04-27 10:15:14
