M&R independent board issues fair value price range
The R15-a-share offer that German investment firm Aton is proposing for JSE-listed Murray & Roberts (M&R) falls well short of what the independent board believes the company is valued at.
The M&R independent board appointed to review the planned offer reported on Wednesday that it had received a valuation report from independent expert BDO South Africa, following which it had determined that a fair value price range for control of M&R was between R20 a share to R22 a share.
Following the BDO’s valuation report, the independent board further affirmed its view that Aton’s proposed offer “materially” undervalued M&R and said it would strongly recommend that shareholders did not accept the offer.
The proposed offer was announced last week and is expected to open on Friday.
M&R previously held discussions with Aton about possibly combing that company’s Redpath Mining with M&R’s underground mining business platform. However, the independent board was sceptical about such a combination, saying last week that it presented “limited strategic rationale” at the current time and that the current combined market share of these businesses might reduce after a possible combination.
M&R traded at R14.22 a share on Wednesday.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation