Developer and housebuilder Swan Hill has received a takeover bid from Raven Mount, a new company run by Anton Bilton and Glyn Hirsch.
The all-share bid values Swan Hill at £46.8m, based on yesterday’s closing price of 78.5p per share.
Raven Mount will offer one of its own shares for each Swan Hill share.
If the bid succeeds, Raven Mount will be listed on the AIM and Swan Hill’s shareholders will hold 96% of its shares.
Raven Mount has received irrevocable undertakings to accept the offer from holders of nearly 52% of Swan Hill’s shares.
It does not hold any Swan Hill shares at present.
Anton Bilton, founder of The Raven Group, property fund management chairman Glyn Hirsch and Bimaljit Sandhu, a former KPMG accountant with experience in property, are executive directors of Raven Mount.
Ex-MEPC director Robert Ware is among the non-executives.
Raven Mount said it was making the bid because “it can create value for Swan Hill shareholders by actively managing Swan Hill’s businesses” to narrow the discount to net asset value (NAV), currently around 40%.
It said it “will adopt a pro-active strategy in relation to Swan Hill and, upon the offer being declared wholly unconditional, will undertake an immediate review of the Swan Hill businesses in order to determine the best method for maximising value for shareholders”.
Swan Hill’s share price rose 8.5p (11%) to 87p from 78.5p this morning.
References: EGi News 12/11/03
