While Link rejects bids left right and centre, another takeover situation might be resolved far more quickly – the mop up all cash offer for Asaleo Care’ from its 36% shareholder, Essity Aktiebolag.
Media report say Essity lobbed a non-binding proposal to acquire additional shares in the nappy, tissue, tampon and pad maker at $1.26 each – a 26% premium to the company’s last closing price of $1.01.
That saw Asaleo Care confirm that speculation that potential bidders by pausing trading and then calling for a trading halt at 12.30pm
Asaleo – which owners the Purex, Libra and Sorbent brands – requested that the trading halt remain in place until the earlier of the opening of trading on Friday.
Talks between the two companies will attempt to get mooted offer on a firmer footing by start of trading Friday.
Essity said there can be no certainty that any agreement will be reached, that a formal binding proposal will be submitted, or that a transaction will be undertaken.
The proposal is not subject to financing conditions. Essity will finance its acquisition of shares through its own sources.
Asaleo shares were last 21.7% higher at $1.23 – a 29-month high – before it paused trading at 11.30am. The shares are up 16% year to date thanks to the mooted offer.
They received a modest boost from the pandemic driven consumer hoarding of tissues, toilet paper and feminine products during the widespread lockdowns from February through mid year.
