2nd Aug 2021 09:00
(Alliance News) - Sanne Group PLC on Monday entered takeover talks with Apex Group Ltd, potentially sparking a bidding war with Cinven Ltd.
The London-based provider of alternative asset and corporate services said it is in advanced talks with financial services provider, Apex Group Ltd, over a possible cash buyout worth 920 pence per Sanne share.
FTSE 250-listed Sanne noted Apex's offer represents a 53% premium to Sanne's closing share price of 603p on May 13, the day before the commencement of the current offer period.
With 162.2 million shares in issue, this offer would value Sanne at around GBP1.49 billion.
Shares in Sanne were trading up 8.2% at 913.00p each in London on Monday morning.
"Having considered the possible offer, together with its financial advisers, JP Morgan Cazenove and Jefferies, the board of Sanne has indicated to Apex that the possible offer is at a value that the board would recommend," the company said.
Sanne said that Apex is well advanced in its due diligence ahead of its put-up-or-shut-up deadline on August 30.
Last Wednesday, Sanne said it remained in takeover talks with private equity firm Cinven Ltd. The company entered talks with Cinven over a 875p offer in June, after rejecting a string of lower offers.
Cinven has until Friday to make a firm offer. Sanne made no mention of the Cinven discussions in its announcement about Apex on Monday.
In an interim trading update last week, Sanne said it is confident of delivering full-year results in line with its expectations.
The firm reported a "resilient" performance in the six months that ended June 30, as it continued to see growth returning to its core markets despite the lingering Covid-19 pandemic.
By Scarlett Butler; [email protected]
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