The Australian Takeovers Panel has published a Declaration and Orders permitting FLSmidth to raise its offer for Ludowici to AUS$11 per share. As the increased offer has been allowed to proceed, FLSmidth and Ludowici have amended their Scheme Implementation Agreement. Aside from the change in share price, the agreement has not been substantially altered. If no higher bids are made, Ludowici’s Board of Directors plan to recommend FLSmidth’s proposal to the company’s shareholders.
The Australian Takeovers Panel took its decision following an application from the Weir Group that challenged FLSmidth’s ability to raise their share offer from AUS$7.20 per share. The Weir Group had offered a competing proposal of AUS$7.92 per share.
Following Weir Group’s appeal of the Australian Takeovers Panel’s decision, FLSmidth lodged a contra-appeal. As a result, both companies were requested to halt all proceedings with Ludowici until the Panel responded to the appeal.
As of 9 March 2012, the Takeovers Panel has declined to take any further action regarding FLSmidth’s increased offer to Ludowici. This means that FLSmidth can now proceed with its AUS$11 per share bid.
Read the article online at: https://www.worldcement.com/asia-pacific-rim/09032012/update_flsmidths_offer_for_ludowici/