The offer is a penny-pinching 9% premium to the group’s closing price the day before the offer was made public
It’s hard to find any fault in the stance taken by Mediclinic’s board to reject a R38bn takeover offer from a consortium led by the private hospital group’s largest shareholder, Johann Rupert’s Remgro.
To begin with, the offer is a penny-pinching 9% premium to Mediclinic’s closing price the day before the offer was made public on Wednesday last week. The bid, which includes a 3p dividend payout by SA’s biggest private healthcare group, may be about 20% more than the share price fetched three weeks ago but is still about half what the shares were trading at just five years ago.
The share price reaction shortly after the offer was made public suggests investors are betting that Remgro will return with a higher offer for the company, which operates hospitals in SA, the UK, Switzerland and the United Arab Emirates. And the Remgro consortium has also signalled that it has not shut the door on a new proposal, saying any further offer will likely be solely in cash.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Remgro looking for equal partnership in possible Mediclinic buyoutCEO Jannie Durand implied that the investment holding company is looking to take its stake in Mediclinic to 50% from its current 44.6%
Read more »
Go-Ahead accepts takeover bid for London bus businessUK transport companies are being snapped up as investors bet on a rebound in post-Covid travel
Read more »
Go-Ahead accepts takeover bid for London bus businessUK transport companies are being snapped up as investors bet on a rebound in post-Covid travel
Read more »
Remgro sees big 5G opportunity in Vumacam polesThe thousands of camera poles deployed by Vumacam provide an ideal opportunity to deploy next-generation 5G broadband into neighbourhoods.
Read more »
Ria Ledwaba’s region and province ‘backing Jordaan in Safa election’While Safa presidential hopeful Ria Ledwaba claims she has overwhelming support in her bid to oust Danny Jordaan as the association’s president, her province Limpopo has rejected her.
Read more »
Ria Ledwaba’s region and province ‘backing Jordaan in Safa election’While Safa presidential hopeful Ria Ledwaba claims she has overwhelming support in her bid to oust Danny Jordaan as the association’s president, her province Limpopo has rejected her.
Read more »