Kin and Carta shares surge on upgraded £220m takeover deal
Kin and Carta shares shares spiked as much as nine per cent on Thursday morning after it said it has reached an agreement on an increased and final cash offer to take it by private.
In a trading update, Kin and Carta said it will now receive £220.3m, rather than the previously proposed £203m, from private equity heavyweight Apax Partners.
Shareholders who accept will receive 120p per share in cash, up from the 110p agreed in October. The new offer gives the company an enterprise value of £258m.
The final takeover offer is from Kelvin UK Bidco Limited, which is indirectly owned by Apax. Bidco upped the offer by around nine per cent because it believes it’s a better deal for shareholders.
Kin and Carta chair John Kerr has previously said the offer provides shareholders with a cash price “that fairly represents the opportunities and risks inherent in the business and delivery of Kin and Carta’s strategy”.
The company thinks it is a good time to sell because the market is tough, and they need more resources and money to grow.
The digital transformation company, formerly known as St Ives, has gradually been shifting from a printing enterprise to a digital transformation specialist through various acquisitions.
The shareholder meetings to vote on the new offer, due to take place on 7 December, have been pushed back to 21 December.