M&C Saatchi received a new takeover offer from its top shareholder Vin Murray’s acquisition car on Tuesday, valued at 3 253.6 million ($ 314 million) by British advertising group.
Murria’s AdvancedAdvT says M&C investors can choose between 2,530 new AdvancedAdvT shares or a combination of cash and shares for each share.
Based on AdvanceAdvT’s last closing share price, both options put M&C Saatchi’s price at 207.5 pence per share, representing a 27% premium to M & C’s Monday closing price.
Shares of M&C were up 6.7% at 174 pence at 0920 GMT on the London Stock Exchange on Tuesday. They jumped 10.2% earlier.
M&C representatives did not respond to a request for comment.
AdvanceAdvT’s previous all-stock approach, which was done in February and rejected by M&C, had a price of 2,347 AdvancedAdvT shares for each M&C share.
AdvancedAdvT, led by software entrepreneur Murray and backed by private equity group Marwyn, seeks to combine its digital capabilities with M&C’s brand recognition – known for its historic advertising links with the UK’s ruling Conservative Party – and to better compete with M-C. Invests heavily in
It said in a statement that access to an existing ADV pipeline includes selective (consolidation and acquisition) opportunities that combine business to enhance M&C Saatchi’s data and analytics capabilities, as well as complement existing offerings. “
Murria and AdvanceAdvT already own 22.3% of M&C. Another 20.2% of M&C shareholders also indicated their support for AdvanceAdvT’s offer, it said.
AdvanceAdvT has proposed that industry veterans Christopher Switland and Tamara Ingram be added to the joint company’s board once the deal is completed.
Founded in 1995 by advertising mogul brothers Maurice and Charles Sachi, M&C is recovering from a 2019 accounting scandal and says AdvancedAdvT’s latest offer does not reflect the potential for growth. ($ 1 = 80 0.8078) (Report by Sachin Rabikumar in Bangalore; edited by Utteresh V., Aditya Soni and Barbara Lewis)