TT Electronics Plc (LSE:TTG) has turned down three unsolicited acquisition proposals from private equity firm DBAY Advisors over the past three months, the latest valuing the company at 130 pence per share.
The British engineering group announced on Friday that it continues to support the higher 155 pence per share proposal from Swiss-based Cicor Technologies, which was disclosed publicly on Thursday. The Cicor offer represents a 19% premium to DBAY’s most recent bid.
According to TT Electronics, DBAY made three “highly conditional” all-cash offers—beginning at 122 pence per share, then 127 pence, and finally 130 pence on October 7. After reviewing the proposals with its financial advisers Gleacher Shacklock and Rothschild & Co., the board unanimously rejected each of them.
DBAY’s offers included several conditions, such as an eight to ten-week due diligence period and the need to secure funding. The firm stated on Thursday that it does not intend to vote in favor of the Cicor proposal.
TT Electronics’ board commented that DBAY “may in some respects have a different agenda to other TT shareholders” and reaffirmed that the Cicor offer “represents the best path to delivering maximum value for all shareholders.”
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