Engineering company GRD Ltd
(ASX:GRD) has recommended shareholders vote in favour of a proposed $106 million takeover offer from U.K. based AMEC.
Under the offer GRD shareholders will receive 55 cents a share.
The offer represents a 34 per cent premium to GRD’s closing price of 41 cents a share on June 10, the last trading day before the AMEC offer.
Chairman Richard Court says the GRD Board believes the offer represents a good opportunity for GRD shareholders to realize value and secure an attractive premium in an uncertain market environment.
AMEC is a supplier of high-value consultancy, engineering and project management services to the world’s energy, power and process industries.
GRD CEO Cliff Lawrence says AMEC is very well positioned to continue the development of GRD.
GRD posted a $62.2 million loss in 2008.
