Acquisition offer for WBHO subsidiary withdrawn

11th January 2021 By: Marleny Arnoldi - Creamer Media Online Writer

JSE-listed construction group Wilson Bayly Holmes-Ovcon (WBHO) has confirmed that the proposal from a buyer to acquire its 88% interest in Australian construction subsidiary Probuild has been withdrawn.

The company in June last year received the indicative proposal from a major international construction company to acquire the Probuild shareholding, but the buyer has advised that the deal would be rejected by the relevant federal government on the grounds of national security.

This despite all other due diligence having been completed and commercial terms having been materially agreed  between the parties.

WBHO says it remains optimistic about the fundamentals of Probuild and its prospects in the Australian market, while continuing to assess all potential opportunities to maximise the shareholder value of Probuild.