Apollo agree to buy 22% stake in Applus in tender offer after raising price
24/01/2024 10:39
Jan 24 (Reuters) - U.S. buyout firm Apollo said on
Wednesday it agreed to buy a 22% stake in the Spain's industrial
testing company Applus Services APPS.MC at 10.65 euros per
share, raising its previous offer.
Apollo had made a cash bid for Applus at 9.50 euros per
share in June.
Apollo's agreement with 15 investors in Applus is the latest
episode of a bidding war pitching the U.S. fund against
infrastructure fund I Squared Capital Advisors and TDR Capital,
who offered 9.75 euros per share.
Spain's government last month authorised Apollo to take over
Applus, while the stock market regulator is still assessing I
Squared and TDR's offer.
Following Apollo's move, its rivals now have a chance to
increase their offer price.
Applus shares traded 5% up on Wednesday morning at 10.84
euros, above the last price offered by Apollo.
Through its share purchase agreement, Apollo is gaining a
hedge over its rivals and complicates a potential higher bid,
Renta 4 analysts said in a report.
TDR declined to comment. I Squared was not immediately
available for comment.
(Reporting by Matteo Allievi, editing by Inti Landauro and
Jason Neely)
((matteo.allievi@thomsonreuters.com;))