On 16 September 2022, MySale’s directors published their response to the offer, advising MySale shareholders not to accept the offer as “they believe that the price of 2p per MySale share does not adequately value MySale and undervalues MySale and its prospects”.
After Australia’s MySale Group rejected Frasers Group’s all-cash bid for an interest last month, saying it was undervalued, the latter moved closer to becoming the first to go after Jackson Family Capital Pty Ltd., the flash sale site’s major shareholder. , made an “irrevocable commitment” to sell 103,745,000 shares to the British group.
On the same day, Carl Jackson resigned as non-executive chairman of MySale due to “conflicts arising in his role as a director of MySale with his personal position as a substantial shareholder of MySale” and told the MySale board that he intended to accept Frasers Group’s offer.
Frasers also received an irrevocable undertaking from Jamie Jackson to sell a further 62,145,385 shares at 2p each and now holds an interest in 481,276,224 MySale shares, representing 48.5 per cent of MySale’s voting rights.
Under Rule 9 of the Takeover Code, Frasers now had to make a binding cash offer for Mysale shares not already owned by it or “any person dealing with it”. Frasers therefore announced that the offer was now a “binding cash offer”.
The group also intends to acquire MySale shares on the Alternative Investment Market (AIM) or otherwise from MySale shareholders in accordance with the code, the memo said.
Fibre2Fashion News Desk (DS)
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