The Murray & Roberts (M&R) share price has been reasonably stable since the dramatic outcome of the mid-June shareholders’ meeting held to decide on the proposed takeover of Aveng. At about R17.40, the share price is just a tad above the R17 offer from German industrial group Aton. This suggests investors do not believe Aton will be persuaded to up the offer, which M&R has dismissed as reasonable but not fair. In the response circular released on Monday, the independent board of M&R repeated its view that the fair-value price range for control of the group is between R20 and R22. That might be "fair" in terms of securing control but it’s been three-and-a-half long years since M&R shares have traded at that sort of level. Having overseen the evaporation of an enormous chunk of the group’s value in recent years, the M&R board is working hard to ensure shareholders get the best deal from the Germans. They have outmanoeuvred Aton and are sticking to their solid advice to shareholders, w...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, Morningstar financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00.