German investment group Aton on Monday announced a R4.7bn cash offer for Murray & Roberts (M&R), bypassing management and causing the share price to rocket more than 50% on Monday. The German bid underlines the vulnerability of SA’s construction sector. Asked whether this was a hostile takeover, Murray & Roberts group investor and media executive Ed Jardim said: “You would have to ask Aton this question. They are making the offer to our shareholders directly and not via our board. I think you can take your cues from that.” Aton said the offer was subject to a minimum acceptance of 50% plus one share and was not subject to any due diligence, Aton said. Aton owns 30% of Murray & Roberts, so the buyout offer at R15 per share values Murray & Roberts at R6.7bn. Aton said the bid would take place in two stages, with the company first increasing its stake to just more than 33.1%, close to the level at which it must make an offer to all minority shareholders under JSE rules. It already has ...

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 articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.

Questions or problems? Email or call 0860 52 52 00. Got a subscription voucher? Redeem it now