17th Feb 2020 17:30
(Alliance News) - Recipharm Holdings Ltd said Monday it now holds a 91% of stake in Consort Medical PLC and will soon be implementing the compulsory acquisition of the medical device maker.
The company said it has received valid acceptances of 40.6 million shares, representing just over 81% of the issued share capital of Consort. It also owns five million shares in the company, representing 10% of the company's share capital.
The company said it will "soon be implementing" compulsorily acquisition of Consort shares it does not already own and expects to despatch a formal acquisition notice on Thursday.
The GBP505 million acquisition offer was first announced in November 2019, under which a unit of Recipharm will pay 1,010 pence in cash for each Consort share, representing a premium of 39% to Consort's closing stock price of 726p, the day before the announcement.
The proposed deal implies an enterprise value of GBP627 million for Consort.
Consort shares closed 0.5% lower in London at 1,005.00 each on Monday.
By Loreta Juodagalvyte; [email protected]
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