Finally, the Village Roadshow game, sorry bid/takeover battle, standoff (choose the one you think is applicable) continued yesterday when the company’s shares resumed trading on the ASX and a $3 a share offer from suitor BGH emerged.
More importantly, one of the two shareholders opposing the offer, Spheria Investments (with 7.80%) now intends giving the offers a tick after revealing it was opposed to the much cheaper offer last week.
Sphere’s decision to support the higher prices means the BGH offer should get through the shareholder meeting that has been put back two weeks.
Village Roadshow shares jumped 17.1% to $2.87, the highest price since March as the $4a share offer was vanishing in the face of the growing pandemic and lockdowns.
BGH raised the offer price for a full takeover offers to $2.95 and $3 cash share.
That leaves Mittleman of New York (which owns more than 14% of Village’s shares and wants $5 a share do now)?
Village says the “cash consideration under the Structure A Scheme and the Structure B Scheme is now above the Independent Expert’s value range of $2.03 to $2.80 per VRL Share.”
The Scheme Meeting date has been moved to December 7, 2020, subject to Court approval, from this week.