Assura Plc (LON:AGRP) has accepted an increased takeover offer from Primary Health Properties PLC, valuing the company at about £1.79 billion.
The revised offer, announced Monday, follows PHP’s earlier proposal and a competing bid from a private equity consortium.
Under the updated terms, Assura shareholders will receive 0.3865 new PHP shares and 12.5p in cash per share, along with a special dividend of 0.84p.
Based on PHP’s closing share price of 103.5p on June 20, the combined consideration equates to 53.3p per Assura share.
Including previously declared Assura dividends totaling 1.68p, the total value increases to 55.0p per share.
The offer represents a 5.8% premium to the 50.42p final proposal from Sana BidCo, a vehicle backed by funds managed by Kohlberg Kravis Roberts & Co. and Stonepeak Partners.
It also reflects a 47.1% premium to Assura’s 37.4p closing share price on Feb. 13, the last business day before the offer period began, and a 49.1% premium to its one-month volume-weighted average price.
Assura’s board has withdrawn its previous support for the Sana BidCo offer and now recommends that shareholders accept PHP’s revised bid.
Assura shareholders would own about 48% of the enlarged group upon completion, which is expected to manage a £6 billion portfolio of healthcare infrastructure assets.
The Assura board said its decision followed discussions addressing capital structure and asset disposal concerns.
