Australia’s Steadfast said on Thursday that Amwins Group and Dragoneer Investment had reaffirmed their takeover proposal valuing the insurance broker at A$7.7 billion ($5.34 billion), prompting a four-week extension of the exclusivity period.
Here are some details:
- The consortium reaffirmed its offer of A$6 per share, which values the Sydney-headquartered firm at an enterprise value of A$7.7 billion.
- The offer price represents a 52% premium to the last closing price before the original proposal was tabled.
- The current bid marks the third and highest approach after earlier offers of A$5.50 and A$5.83 per share failed to secure an agreement.
- Under the proposed transaction, Amwins, an insurance distributor, will acquire Steadfast’s underwriting agency operations, while U.S.-based Dragoneer Investment will take control of the retail brokerage business.
- Shares of the firm marginally rose 0.4% to A$5.17 in the early hours of trading, while the broader ASX 200 index .AXJO was down 0.8%.
($1 = 1.4426 Australian dollars)
(Reporting by Kumar Tanishk in Bengaluru; editing by Rashmi Aich)
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