Heated takeover race shoots up McPherson's (ASX:MCP) shares

Company News

by Michael Luu

The race for ownership of ASX-listed health, wellness and beauty products distributor McPherson’s (ASX:MCP) has intensified, as a new bid by Arrotex has toppled unlisted investment firm Kin Group’s 172 million takeover offer.

McPherson’s confirmed in a statement this morning that Australia’s largest locally-owned pharmaceutical company submitted a non-binding indicative proposal of $1.60 for every McPherson’s share.

The submission has enabled Arrotex to access McPherson’s internal information for due diligence processing.

The last-minute offer represents a 26-cent premium on rich lister Raphael Geminder’s Kin Group’s offer of $1.34. Kin Group’s subsidiary Gallin made it clear to investors that was the final offer, should there be no challenge from another competing bidder.

The superior offer effectively means Gallin must up its game, if Raphael Geminder chooses to continue the pursuit of the skincare retailer.

McPherson’s management has not yet expressed an opinion on the takeover proposal, as the company’s board considers their stance on the impact such a deal may have on its stakeholders.

The heated race has fired shares in McPherson's (ASX:MCP) up 8.6 per cent to $1.54


Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.