SYDNEY, Jan 21 (Reuters) - Australian detention camp operator Broadspectrum Ltd (BRS) on Thursday urged shareholders to reject the A$692 million ($477.96 million) takeover offer from Spanish infrastructure giant Ferrovial SA FER.MC, suggesting it undervalued the company.
"Your board has carefully considered the offer to assess whether it is in the interests of Broadspectrum shareholders and your directors unanimously recommend that you reject the offer," Broadspectrum told shareholders.
"Your Broadspectrum shares are worth a lot more than Ferrovial is offering. This is the unanimous view of your Directors and is supported by the independent expert who has concluded that the offer is not fair and not reasonable."
Ferrovial has offered A$1.35 for each Broadspectrum share but the takeover target says independent advisors Ernst & Young has valued them at between A$1.71 and A$1.98. ($1 = 1.4478 Australian dollars)
