A diversified company approved a major takeover bid from a direct competitor.
MACA’s board of directors recently recommended a $350.2 million acquisition offer from rival Thiess.
“Directors of MACA recommend that MACA shareholders accept the offer, in the absence of a superior proposal and subject to the independent expert to be engaged by MACA,” the target said in a public statement.
Subsidiary Thiess Group Investments’ $1.025 cash per share bid is touted to represent more than a 42 per cent premium on MACA’s monthly volume-weighted average price.
“The offer is fair and reasonable, or not fair but reasonable, to the MACA shareholders,” the board said.
The deal involves Thiess Group Investments purchasing all MACA shares through a conditional off-market takeover bid. The acquisition target will then continue to operate under the same brand with support from Thiess.
“We recognise and intend to maintain and grow MACA’s strong brand and presence in the Western Australian market. Thiess also looks forward to supporting MACA to meet the evolving needs of its client base through promoting further investment in low emission and technology-led solutions,” Thiess CEO Michael Wright said in a public statement.
The offer is subject to Foreign Investment Review Board approval, no objection from the Australian Competition and Consumer Commission, and at least 90 per cent shareholder acceptance.
Macquarie Capital, Lisle Group and Salient Corporate are advising on financial aspects. Squire Patton Boggs and Thomson Geer are handling the legal side of the transaction.
MACA’s target statement is expected to be distributed to shareholders sometime in late August 2022.