Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Shares in U.K.'s K3 slip after group confirms takeover bid from Sun Capital

Published 12/09/2022, 08:54 AM
Updated 12/09/2022, 09:03 AM
© Reuters.
K3C
-

By Scott Kanowsky 

Investing.com -- Shares in K3 Capital Group PLC (LON:K3C) fell on Friday after the British professional services company announced that it is in advanced negotiations with Sun Capital Partners over a potential multimillion-pound takeover by the U.S. private equity group.

In a statement on Thursday confirming earlier media reports, Bolton-based K3 said it has discussed a potential cash offer that would see Sun Capital acquire all of its issued and yet-to-be-issued holdings at a price of 350 pence per K3 share.

The deal would represent a 16.7% premium to the closing price of K3 shares on December 7. According to Reuters calculations, the company would be valued at £257.3 million (£1 = $1.2276).

K3 added that its independent directors have told Sun Capital that they would be "minded" to unanimously back the purchase if a firm proposal is made. Sun Capital must now decide on going forward with the transaction by January 5.

K3 said it has also received interest from "multiple parties," but these entities are reportedly no longer interested in a potential bid for the firm.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.