Stockland raises its bid but Aevum not sold

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Stockland has increased its all cash market offer for Aevum but has also declared its bid unconditional and final. The offer translates to $1.80 per share, an increase of $0.30 for Aevum shareholders. The offer is available until 30th September 2010 and Stockland has reserved the right to extend the offer period.
Aevum has commissioned its second independent expert’s report from Lonergan Edwards in the wake of Stockland’s ‘final’ offer. Aevum has been clear that it is still in talks with other companies, including FKP and has advised its shareholders to do nothing about Stockland’s new offer.
If Stockland acquires 100% of Aevum at the increased offer value, proforma net gearing would increase from 18% at 30 June 2010 to around 20%. The transaction would remain EPS neutral in FY11 and approximately 2% accretive in FY12.


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