19th Jul 2019 11:36
(Alliance News) - Advisory firm Science Group PLC said Friday it increased its stake in Frontier Smart Technologies Group Ltd to 43% as it continued to pursue a hostile takeover of the audio technology firm.
On Thursday, Science Group acquired a further 696,233 shares in Frontier for 35 pence each worth a total GBP243,682. The buy takes its total stake to 16.2 million shares, or 39.9% of total outstanding shares in Frontier.
Science Group also has valid acceptances for a further 1.3 million shares, taking its total interest to 43.0%.
In mid-May, Science Group and Frontier Smart ended merger talks after failing to reach an agreement.
Following the failure of these earlier talks, Frontier Smart argued it had received a strategic investment proposal from a "credible industry player" which it preferred over the Science Group offer. This second bidder had initially been viewed as a potential takeover rival.
Since its initial May bid, Science Group has been steadily building its stake in Frontier Smart.
Last week, Science Group emphasised its 35 pence per share takeover offer was the "only offer" available to Frontier and continued to encourage shareholders to take up the offer. Science Group also refused to increase its offer, despite Frontier claiming it had verbally agreed to do so.
Shares in Frontier Smart were 2.8% lower at 35.00p in London on Friday, Science Group 1.0% higher at 200.90p.
Related Shares:
Science GroupFST.L