Iress, a global technology provider for advisers, has rejected a bid from Australian private equity firm EQT. In a statement, Iress said that EQT’s offer to buy the company “did not represent compelling value” for shareholders.
The full statement said:
“Following careful consideration, including obtaining advice from its financial and legal advisers, the board unanimously concluded that the indicative proposal was conditional and did not represent compelling value for Iress shareholders.
“The board informed EQT that it was prepared to provide it with access to limited non-public information so EQT can develop a proposal that is capable of being recommended to shareholders.
“Iress shared this information with EQT following EQT entering into a confidentiality and standstill agreement. Discussions are continuing.”
EQT submitted an offer to buy the entire share capital of Iress for A$£14.80 (£7.80) per share. This consequently valued the company at A%2.86bn (£1.51bn). While Iress have confirmed that discussions are ongoing, there is no certainty that EQT will make a further offer.
The bid comes in the wake of increased levels of acquisition by private equity firms.
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