11th Oct 2016 06:57
LONDON (Alliance News) - Jaguar Holdings Ltd on Tuesday said Journey Group PLC has agreed to new takeover offer valuing Journey at GBP28.4 million, the second offer made by Jaguar after its previous failed to secure sufficient shareholder support.
A week ago, Jaguar, a special vehicle formed by private investment house Harwood Capital LLP, made a new 240.00 pence per share bid to buy Journey. The offer was the same as the previous bid made by Jaguar, but that offer lapsed after it only secured 68.8% support from Journey shareholders. The threshold to get the offer approved had been 90%.
The new offer has an acceptance threshold of 75% and, it this secures enough shareholder support, will see Journey, which provides in-flight products and catering services to the airline and travel industries, taken private. Jaguar said it already controls or has acceptances of its offer representing 40.37% of Journey's share capital.
Jaguar said the offer is at a 13% premium to Journey's closing price prior to the offer being tabled.
"This new offer provides all Journey shareholders with the opportunity of a cash exit, at the same price as was previously offered, which is at a meaningful premium to the price at which the company's shares were trading before the announcement of the previous offer on 23 August 2016 and recognises the company's underlying value," said Stephen Yapp, Journey's executive chairman.
By Sam Unsted; [email protected]; @SamUAtAlliance
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