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Countryside Partnerships PLC on Monday confirmed that it had received and rejected two takeover proposals from San Francisco-based investor Inclusive Capital Partners LP, advising shareholders to take no action.
The Brentwood, England-based housebuilder and urban regeneration firm said the first offer made by In-Cap was in mid-April, valuing Countryside at 225 pence per share, with a contingent entitlement of up to 59 pence.
The second bid was made in mid-May, for 295 pence per share. Both proposals were subject tot the satisfaction or waiver by In-Cap of several pre-conditions, including the completion of due diligence.
The offer reflects a 24% premium from Countryside's closing share price of 238.60 pence on Friday last week.
In-Cap currently owns 45.8 million shares in Countryside, reflecting a 9.2% interest in the group.
Countryside clarified that it had rejected both In-Cap proposals, on the grounds that they did not reflect the group's shareholder value creation after taking into account Countryside's unique market position.
In-Cap now has until June 27 to announce a firm intention to make an offer or pull out.
‘In-Cap was founded to support businesses which generate positive impact on the environment and society. We believe Countryside is meeting a critical societal need and as a holder of approximately 9% of the issued share capital of Countryside, In-Cap believes Countryside is best positioned to serve this role and to succeed as a private company under ownership of investors with a long-term investment approach,’ said In-Cap Managing Partner Jeffrey Ubben earlier Monday.
‘The board is confident that, with a clear strategy in place following the operational review announced on 7 April 2022, Countryside has a strong platform to deliver value in excess of the proposals,’ Countryside stated.
Shares in Countryside Partnerships closed 19% higher at 283.00 pence, reflecting a market cap of £1.41 billion.
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