8:38 am, July 18, 2013
HR OWEN has rejected an ‘unacceptable’ £32.5 million takeover bid from the investment group, Berjaya Philippines.
On Wednesday, Berjaya Philippines made a takeover bid for the London-based car dealer after buying a 29.8 per cent stake in HR Owen last month for £8.3 million.
Berjaya Philippines then offered 130 pence per share for the remainder of the company, valuing it around £32.5 million.
The bid represented a 7.4 per cent rise on HR Owen’s share price on July 16, 2013.
In a statement HR said: ‘The board believes the offer by Berjaya to be inadequate and at a level which materially undervalues the company.
‘Therefore, the board strongly recommends that shareholders take no action in respect of this unsolicited and unacceptable offer from Berjaya.’
Berjaya said it had not sought a formal recommendation from HR Owen’s board before the bid was offered.
Shares in HR Owen, which have almost doubled in value this year, closed on Wednesday at 130.5 pence per share.
