Link receives acquisition offer
Link Administration Holdings has received a conditional, non-binding indicative proposal from a syndicate led by Pepper European Servicing Limited to acquire the whole of Link Group’s banking and credit management business.
In an announcement to the Australian Securities Exchange (ASX), the proposed acquisition would be for $86.5 million and was subject to the following conditions:
- Due diligence;
- Obtaining anti-trust approvals;
- Obtaining regulatory change of change approvals;
- Negotiation and execution of transaction documentation; and
- Securing debt financing.
The board would consider the proposal, which included obtaining advice from its financial, legal and tax advisers.
Shareholders were not yet required to take any action and it was noted there was no certainty any transaction would happen.
AUTHOR
Chris Dastoor
Recommended for you
Outflows from an Australian private markets fund manager have caused FUM at Pacific Current to decline by $1 billion in the last quarter.
Former RIAA chief executive Simon O’Connor has joined the ethical advisory panel at U Ethical Investors.
Financial services leaders are “all cashed up with nowhere to grow” when it comes to M&A activity, according to Deloitte, with 90 per cent saying they have strong balance sheets ready for an acquisition.
As fund managers are urged to diversify their product ranges, they are finding a faster way to do this is via an acquisition of existing firms but experts say it is not without potential culture clashes.
