30th Sep 2015 07:07
LONDON (Alliance News) - Electrical retailer Darty PLC Wednesday said that it has received a GBP533 million all-share takeover proposal from Groupe Fnac SA on the basis of one Fnac share for every 39 Darty shares.
The proposal currently values Darty at 101 pence per share based on Fnac's closing price of Tuesday, compared to Darty's closing price on Tuesday of 81p. Darty shares are up 15% at 93.00p at the open Wednesday.
"The board has considered the proposal and concluded that it should further explore the benefits of a potential combination with Fnac. Initially, this engagement will focus on reviewing deal execution risks in order to determine whether an offer is likely to be deliverable on a basis which could be capable of being recommended to Darty shareholders," Darty said in a statement.
Fnac confirmed the proposal in a separate statement.
"Fnac believes that the proposed transaction will benefit both groups, in particular their respective employees and customers, and represents a unique value creation opportunity for both Darty and Fnac shareholders," Fnac said.
In accordance with rules of the UK Takeover Code, Fnac must either announce a firm intention to make an offer for Darty or that it does not intend to make an offer by 1700 BST on October 28.
Fnac is a retailer of cultural, leisure and technological products.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
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