has entered into a non-binding term agreement in regards to its off-market offer to take over Redhill Education (ASX:RDH)
. After several discussions, both parties agreed to further investigate what appeared to be a sound rationale, including synergies, geographic spread and education sector expansion.
Icollege is an online education platform that delivers accredited and non-accredited vocational education. The term sheet will facilitate the negotiation of a possible agreement with Redhill. Icollage has offered Redhill 9.5 Icollege shares for each Redhill share (at $1.05 per Redhill share).
At this stage there is no guarantee Redhill will accept the company’s offer, although Icollege chairman Simon Tolhurst believes that, "this agreement provides Redhill shareholders with a reasonable and fair value."
Shares in (ASX:ICT)
are trading 9.1 per cent higher at $0.12.