Healius rejects takeover offer

Company News

by Anna Napoli

Healius (ASX:HLS) has rejected a non-binding takeover bid from China's Jangho Group.

The board of the medical centre and pathology company says the $2 billion dollar bid is opportunistic and fundamentally undervalues Healius.

A proposal of $3.25 per share was announced to the ASX last week, but Healius says the highly conditional and uncertain nature of the proposal as well as concerns over sources of funding reinforce the board's view.

Healius, formerly known as Primary Health Care says it has commenced a number of strategic initiatives that are expected to deliver significant operational improvements.

Shares in Healius (ASX:HLS) last traded at $2.75.