Shares in Ludowici Limited (ASX:LDW) closed more than 91 per cent higher yesterday after receiving a takeover bid from Danish engineering group FLSmidth valued at about $212 million.
The mining services company has been offered $7.20 per share, a premium of more than 100 per cent to its share price before the bid was launched.
Ludowici’s board has backed the deal and granted its suitor exclusive due diligence as they work towards a scheme of arrangement.
Shares in Ludowici jumped 91.43 per cent on Monday, closing at $6.70.
In the first half of the 2011 financial year Ludowici reported a net profit of $4.1 million, 23 per cent down from the year before.
