Monash IVF Group Ltd (ASX:MVF)’s embattled share price has roared back, jumping more than 34% to 82 cents in early trade and pushing past the takeover offer lobbed by a consortium led by Sol Pattinson and Genesis Capital.
Chairman Richard Davis earlier told shareholders the unsolicited bid was “opportunistic in its timing and materially undervalues the company”.
The fertility group has endured a torrid year, marked by two separate IVF errors that ultimately led to the departure of former chief executive Michael Knaap in June. The bidding consortium has disclosed it now holds an interest in about 19.6% of Monash IVF’s ordinary shares.
The board said it had consulted its advisers before rejecting the offer and would remain open to assessing any future change-of-control proposals, but would “only progress such a proposal if it believes it represents compelling value for Monash IVF shareholders”.