Murray & Roberts rejects German buy-out offer as ‘opportunistic’
Murray & Roberts has come out swinging, rejecting shareholder Aton’s takeover offer, saying it is “opportunistic” and undervalues the construction and engineering group’s prospects. On Monday, Aton made a R4.7bn cash offer for the 70% of ordinary shares in Murray & Roberts it does not hold. Murray & Roberts on Tuesday outlined three scenarios the German investment group might pursue: to buy up 100% of the construction and engineering group and delist it from the JSE; to buy 50% plus one share to become the majority stakeholder; or accrete shares to below a 50% stake. By late Tuesday, Murray & Roberts had constituted an independent board following a firm offer letter received from Aton. It has appointed BDO SA Services as independent expert. “The offer is opportunistic and made at a time of unprecedented share price weakness as a consequence of low liquidity, declining valuations of [Murray & Roberts’s] legacy peers in the construction sector and halting of the company’s share buy-ba...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.