Broadspectrum Limited
(ASX:BRS) has advised shareholders to reject an off-market conditional takeover bid made by Ferrovial Services Australia Pty Limited.
Broadspectrum Chairman, Diane Smith-Gander told shareholders their shares are worth a lot more than Ferrovial is offering.
Ferrovial has offered $1.35 for each Broadspectrum share. However the company said an independent expert’s report prepared by Ernst & Young values the shares in the range of $1.71 and $1.98.
The company highlighted its recent upgrade to guidance for FY16 underlying EBITDA to between $265 million and $285 million as a sign of continued strong performance.
Broadspectrum recorded a net profit of $48.6 million at 30 June 2015.
