Takeover approach for Assura
WARRINGTON healthcare landlord Assura has received an unsolicited approach from one of its rivals, the MedicX fund.
In a stock market statement Assura said Surrey-based MedicX had proposed an all-share deal, offering one MedicX share for every 2.05 Assura shares.
Assura builds and rents GP surgeries and is one of the biggest companies in the sector. Its closest competitors are MedicX and PHP. The three have around 400 properties.
The company said: “At this stage, there can be no certainty that an offer will be made or as to the terms upon which any offer might be made.”
In a separate statement MedicX said the deal represented an offer price of 40p a share and would create “substantial value for the shareholders of both companies”.
It said: “The board of MedicX believes that the transaction would provide an excellent opportunity for both MedicX and Assura shareholders to participate in a combined business, which will be one of the major players in the medical property industry providing primary care services to approximately 5% of the UK population, with good short-term prospects and excellent long-term revenue, profit, dividend and asset value drivers.”
MedicX said it had strong support from Assura’s largest shareholders, Somerston and Invesco, which hold 29.9% and 18% respectively. Shares in Assura rose 7% to 38.75p, valuing the group at around £200m. MedicX’s shares were unchanged at 82.75p, valuing it at around £216m. MedicX has until June 14 to either announce a firm intention to make an offer or withdraw.
