William Hill Rejects Revised Offer from Rank And 888
William Hill declines modified offer from Rank and 888
15 August 2016
Bookmaker William Hill has actually rejected a revised takeover technique from 888 and Rank, saying it still "considerably" undervalues the company.
William Hill stated the brand-new proposition provided its investors an estimated value of 352p a share, compared to a previous offer of 339p a share.
Rank and 888 reaffirmed their view that the deal was "an engaging value production chance for William Hill".
But William Hill stated the revised offer was "highly opportunistic".
"The board continues to see no benefit in engaging with the consortium," the business included.
The modified takeover proposition would see William Hill investors get 199p in money and 0.86 of shares in BidCo - the business being formed by 888 and Rank to buy William Hill - for each share they own.
William Hill investors would wind up with 48.8% of the combined group.
Under the previous method, William Hill investors were provided 199p in money and 0.725 BidCo shares, leaving investors with 44.6% of the combined group.
'Substantial danger'
"This revised proposition continues to considerably underestimate the company and the cash aspect of the proposition has actually not changed. Therefore, the board sees no benefit in appealing," said William Hill's chairman, Gareth Davis.
"As we have stated before, this is highly opportunistic and intricate and does not improve the strategic positioning of William Hill.
"The board continues to believe we have a strong group to provide superior value to our investors and trading at the start of the second half offers us renewed confidence in our stand-alone strategy.
William Hill declines modified offer from Rank and 888
15 August 2016
Bookmaker William Hill has actually rejected a revised takeover technique from 888 and Rank, saying it still "considerably" undervalues the company.
William Hill stated the brand-new proposition provided its investors an estimated value of 352p a share, compared to a previous offer of 339p a share.
Rank and 888 reaffirmed their view that the deal was "an engaging value production chance for William Hill".
But William Hill stated the revised offer was "highly opportunistic".
"The board continues to see no benefit in engaging with the consortium," the business included.
The modified takeover proposition would see William Hill investors get 199p in money and 0.86 of shares in BidCo - the business being formed by 888 and Rank to buy William Hill - for each share they own.
William Hill investors would wind up with 48.8% of the combined group.
Under the previous method, William Hill investors were provided 199p in money and 0.725 BidCo shares, leaving investors with 44.6% of the combined group.
'Substantial danger'
"This revised proposition continues to considerably underestimate the company and the cash aspect of the proposition has actually not changed. Therefore, the board sees no benefit in appealing," said William Hill's chairman, Gareth Davis.
"As we have stated before, this is highly opportunistic and intricate and does not improve the strategic positioning of William Hill.
"The board continues to believe we have a strong group to provide superior value to our investors and trading at the start of the second half offers us renewed confidence in our stand-alone strategy.