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DP Eurasia NV on Tuesday received a final takeover offer from Jubilant Foodworks Ltd, which values it at over £161 million.
Shares in DP Eurasia were trading 12% higher at 107.01 pence each in London on Tuesday morning.
Independent directors of DP Eurasia, and the board of Jubilant Foodworks, have agreed on the terms of the new offer to buy DP Eurasia’s entire share capital for 110p per share.
The ‘increased and final’ offer values the Domino’s Pizza master franchisee, operating in Turkey, Azerbaijan, and Georgia, at approximately £161.2 million. Jubilant added that it values all shares it does not already own at around £73.1 million.
Jubilant Foodworks Netherlands BV, the Indian food service company’s Netherlands subsidiary, originally on November 28 announced its intention to offer 85p per share for DP Eurasia. Then on December 19, Jubilant said it had increased the offer to 95p per share.
The new 110p offer represents a ‘substantial’ 29% premium to the original offer, and a 61% premium to the closing price of 68.5p per DP Eurasia share on November 27.
To give DP Eurasia shareholders ‘time to consider and accept’ the new offer, Jubilant plans to extend the closing date for the offer.
Jubilant Foodworks will fund the cash consideration payable to DP Eurasia shareholders through one existing and one new debt facility with HSBC.
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