Dye & Durham Agrees to $1.7 Billion Deal For Australia’s Link
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Australian data-services outfit Link Administration Holdings Ltd. has agreed to a new takeover offer by software firm Dye & Durham Ltd., ending on-again-off-again talks with a recut deal worth A$2.47 billion ($1.7 billion).
Australia’s biggest service provider to the nation’s pension-fund industry Thursday opted to recommend a revised offer of A$4.81 per share from the Toronto-based firm. While lower than an initial $5.50 per share deal dating back to December, it was higher than the A$4.57 a share Dye & Durham tried to renegotiate earlier this month.
Dye & Durham rose 2% to C$19.18 as of 10:12 a.m. in Toronto.
Link had rejected the lower offer, which led to Dye & Durham to consider walking away from the deal, according to an earlier Bloomberg News report.
Dye & Durham had reevaluated its bid after a sell off in global technology and software stocks, including a 28% decline this year in the shares of real-estate conveyancing unit Pexa Group Ltd., of which Link is the major shareholder.
The new agreement could also include an additional 13 Australian cents per share for shareholders in the next year from a possible sale of Link’s Banking and Credit Management business, Link said.