EYE NEWSFLASH: Belvoir withdraws merger offer to Property Franchise Group

Belvoir this morning has confirmed that it does not intend proceed with the possible merger offer for The Property Franchise Group.

TPFG had made clear its concerns, describing it as an attempted hostile take-over.

It said that the £33.7m offer that Belvoir put on the table significantly undervalued it.

Belvoir’s statement this morning said: “Although the terms set out by Belvoir in its announcements of 19 October 2017 and 1 November 2017 set out Belvoir’s preferred structure through which to combine the businesses of Belvoir and The Property Franchise Group, it is not possible, given the concentration of The Property Franchise Group shares held by The Property Franchise Group’s directors and their connected persons being 49.3% of the The Property Franchise Group  issued share capital, to implement the Possible Merger Offer without the engagement and agreement of the directors of The Property Franchise Group, which, as at the date of this announcement, has still not been forthcoming. 

“Belvoir notes the announcement of 2 November 2017 by The Property Franchise Group confirming its position. 

The Belvoir board is disappointed that The Property Franchise Group board has declined to enter into a dialogue, not least given that The Property Franchise Group board itself has recognised the scale that would be achieved in combining the two businesses and moreover, given a number of common institutional shareholders have publicly stated their support, in principle, for a dialogue between the boards of Belvoir and The Property Franchise Group with regard to the possible merger offer, as announced by Belvoir on 14 November 2017.

 “Consequently, with regret, given that the Rule 2.6 deadline under the Code is 5pm today and in the absence of any engagement from the directors of The Property Franchise Group, Belvoir is now effectively unable to progress its possible merger offer.”

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4 Comments

  1. Hillofwad71

    Very impressed with Belvoir . Initially sceptical at first  that the semi-retired Winco had the necessary to rollout but fair play to him and Dorian they certainly have  done an excellent  job with some good acquisitions including regular poster  here Eric’s Northwood Certainly ambitious

     

    In a dog eat dog envirionment maybe Belvoir are themsleves likely  takeover material

     

    Perfect antidote to the abysmal showing by Bricks letting side .Certainly would with one £35/45m bite  have an instant  national  hybrid platform by acquiring Belvoir

    Belvoir themselves would have achieved  this in  reverse with Ewemove if their bid had been  successful

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  2. StatementOfFact

    Belvoir withdraws third uninvited, unwanted, poor offer to a company with no interest in a merger.

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    1. FlyingSheep54

      In the current news cycle, you’d have thought they’d rather not be associated with unwanted advances.

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  3. GeorgeHammond78

    Correction: ‘Belvoir withdraws third uninvited, unwanted, poor offer to a company whose directors have no wish to receive their P45s’.

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