IPH has announced a proposal to acquire listed competitor Xenith IP ((XIP)) with a scrip and cash offer. This offer values the business at $1.97 per share and under the proposal shareholders will receive $1.28 in cash and 0.1056 IPH shares for every Xenith share.
IPH already has a 19.9% stake which it acquired in February. Deutsche Bank has a Hold rating and $5.70 target.
Sector: Commercial & Professional Services.
Target price is $5.70.Current Price is $6.61. Difference: ($0.91) – (brackets indicate current price is over target). If IPH meets the Deutsche Bank target it will return approximately -16% (excluding dividends, fees and charges – negative figures indicate an expected loss).