Investors dive into Murray & Roberts as Germany’s Aton makes takeover bid

Shares in Murray & Roberts jumped by 47% in early afternoon trade on Monday, after a proposed bid was announced for the SA engineering and mining contractor by German investment holdings company Aton GmbH.

Shares in Murray & Roberts were up 48.34%, trading at R14.30 per share on Monday at 12:30.

Aton currently owns 29.9% of the group’s share capital.

Aton’s proposed offer includes first buying 13.7 million additional shares. If completed, this would raise Aton’s holdings in Murray & Roberts to approximately 33.1%.

The German firm intends to make the firm offer at R15 a share to all the group’s shareholders, Murray & Roberts said in a stock exchange announcement on Monday. This is over 50% above the JSE-listed group’s closing share price on Friday.


“The offer provides M&R shareholders with an opportunity to realise value in cash and to divest of their M&R shares at a premium, which is also attractive considering the low trading volumes in M&R shares on the JSE,” Aton said in a statement.

Murray & Roberts’ fund manager Allan Gray has supported Aton’s decision to acquire the shares, stated the media statement.

Allan Gray has given Aton an “irrevocable undertaking” to sell the 10.9% of the group’s shares it owns. If Aton buys these shares, it would then own 44% of Murray & Roberts’ share capital.

An independent board of Murray & Roberts will, however, first review Aton’s proposition.

“Once the independent board has concluded its review of the proposed Aton offer, a further announcement will be made,” it said.

Shareholders have been advised to wait on the correspondence of the board before they accept any offers. — Fin 24

Subscribe to the M&G

These are unprecedented times, and the role of media to tell and record the story of South Africa as it develops is more important than ever.

The Mail & Guardian is a proud news publisher with roots stretching back 35 years, and we’ve survived right from day one thanks to the support of readers who value fiercely independent journalism that is beholden to no-one. To help us continue for another 35 future years with the same proud values, please consider taking out a subscription.

Related stories

Advertising

Subscribers only

ANC’s rotten apples on the chopping block

Now that the NEC has finalised its step-aside guidelines for those facing corruption charges, a swathe of officials will struggle to cling to their positions

Sisulu and Dlodlo punted to be on their way out

Because President Cyril Ramaphosa won the step-aside order in the ANC’s national executive committee, a cabinet reshuffle looms, with Sisulu and Dlodlo’s names on comrades’ lips

More top stories

Khaya Sithole: The real weapons of mass destruction

Ratings agencies and derivatives caused the housing bubble, but where does the next financial crisis lurk?

Analysts expecting another attack ‘in the next few months’ in...

The extremist insurgency in Mozambique has been an ongoing threat since 2017. SADC needs to act now, say analysts

SIU probes how master of the high court fleeces the...

While the SIU delves into dozens of allegations of fraud, corruption and misconduct against officials at the master of the high court, many families have been left destitute after the death of their loved ones.

Barred neonatal visits hurt infants

Some nurses chose to ignore the no-visit rule, and now the health department has allowed mothers to feed their premature infants
Advertising

press releases

Loading latest Press Releases…