- Aluminium company Capral (CAA) has declined Allegro’s purchase offer due to feedback from shareholders
- Just last week, the company announced the news of a takeover offer, which valued Caprals shares at $7 each
- Since this announcement, Capral’s Board of Directors has received feedback from a number of shareholders to not go ahead with the deal, as it undervalues the company
- Capral has taken this advice and has now terminated the deal
- On the market, Capral is down 3.77 per cent and is trading at $7.65 per share
Aluminium company Capral (CAA) has declined Allegro’s purchase offer due to feedback from shareholders.
Last week, the company broke the news of a takeover offer and recommended its shareholders to vote in favour of the proposed transactions.
Allegero offered to buy 100 per cent of Capral shares for $7 each.
Since this announcement, Capral’s Board of Directors has received feedback from
a number of shareholders to not go ahead with the deal, as it undervalues the company.
“The overwhelming response from those shareholders has been that the
proposal undervalues Capral,” the company explained.
“In the circumstances, the Board has concluded that there is no realistic prospect that the proposal will gain the level of shareholder support required for it to succeed,” it added.
The board will continue to act in the best interest of the company and to support the executive management in building shareholder value.
Capral is down 3.77 per cent on the market this morning and is trading at $7.65 per share at 11:38 am AEST.