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Builders and building materials

Atlas Arteria tells investors to take no action on IFM takeover bid

Atlas Arteria (ASX:ALX) has received an unsolicited takeover offer from IFM to acquire all securities in the company that IFM does not already own.

The offer, made by way of an off-market takeover bid, was detailed in a Bidder’s Statement received by Atlas Arteria this morning. The company said there had been no prior communication from IFM before the statement was received.

IFM has offered A$4.75 cash per security, representing a premium of only 10% to Atlas Arteria’s last closing security price. The bidder has indicated the offer price will rise to A$5.10 per security if its relevant interest in Atlas Arteria reaches 45% or more before the offer closes.

The bidder has also made certain “best and final” statements in relation to the offer.

The offer remains subject to a number of conditions, including third-party consents, approvals or waivers. Atlas Arteria said these conditions may or may not be satisfied, and that unless they are satisfied or waived, the takeover offer will not proceed.

Independent board committee to review bid

Atlas Arteria’s boards will establish an Independent Board Committee to consider and evaluate the offer.

The company has advised securityholders to take no action at this stage.

The committee, together with its advisers, will assess the offer and provide an update to securityholders in due course.

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