BGH Capital Ups Webjet Offer by 14% to A$0.91 in Revised Takeover Proposal
Webjet Group has received a revised non-binding takeover offer from BGH Capital at A$0.91 per share, up from a previous A$0.80 bid, signaling renewed acquisition interest amid ongoing negotiations.
- BGH Capital proposes A$0.91 per share for remaining Webjet shares
- Offer is non-binding and subject to 75% minimum acceptance and regulatory approvals
- Webjet Board agrees to due diligence but has not recommended acceptance
- Revised offer follows earlier rejected A$0.80 per share proposal
- BGH and associates currently hold 18.3% stake in Webjet
Renewed Acquisition Interest
Webjet Group Limited, a key player in the travel services sector, has received a fresh non-binding indicative offer from BGH Capital to acquire all remaining shares it does not already own. The revised proposal values Webjet at A$0.91 per share, a notable increase from BGH's original A$0.80 offer earlier this year. This development marks a significant moment for shareholders and the broader market, as it revives the prospect of a takeover after the initial bid was firmly rejected by Webjet's Board in May 2025.
Conditions and Board Response
The revised offer is contingent on several key conditions, including a minimum acceptance threshold of 75% of Webjet's ordinary shares, regulatory approvals, and the absence of any adverse events that could affect the company's standing. Importantly, the Webjet Board has agreed to grant BGH access to conduct due diligence under a mutually agreed non-disclosure agreement, signaling a willingness to engage but stopping short of endorsing the offer. Shareholders have been advised that no immediate action is required, reflecting the tentative nature of the proposal.
Strategic Implications
BGH Capital's increased offer price suggests a strategic recalibration aimed at securing broader shareholder support. With BGH and its associates already holding an 18.3% stake through a cooperation agreement with Portfolio Services Pty Ltd, the firm is positioning itself to consolidate control. The all-cash nature of the bid, unaffected by the recently announced A$0.02 dividend, adds an element of certainty to the offer's financial terms, potentially appealing to investors seeking liquidity.
Market and Shareholder Outlook
While the proposal remains non-binding and subject to multiple hurdles, it has undoubtedly injected fresh momentum into Webjet's corporate narrative. The market will be closely watching how shareholders respond, especially given the Board's current neutral stance. The outcome could reshape Webjet's ownership structure and influence its strategic direction in the competitive travel services landscape.
Bottom Line?
As due diligence unfolds, Webjet’s next moves will be pivotal in determining whether this takeover bid gains traction or stalls.
Questions in the middle?
- Will Webjet’s Board ultimately recommend acceptance of BGH’s revised offer?
- Can BGH secure the 75% minimum acceptance needed to proceed with the takeover?
- What regulatory challenges might impact the approval of this off-market bid?
