Monash IVF shares soar most since 2014 after takeover offer
Shares in Monash IVF rose the most since 2014 after the group said it had rejected a takeover bid from Genesis Capital Investment Management and Washington H. Soul Pattinson.
The pioneering reproductive health-care company said on Monday it had “received an opportunistic, unsolicited, conditional and non-binding indicative proposal” from the consortium.
Its shares were up 39 per cent at 85¢, valuing Monash at $332 million, as 9.30am.
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By continuing you agree to our Terms and Privacy Policy.Monash IVF’s board considered the offer but unanimously decided that it undervalued the company and wasn’t in shareholders’ best interests, the company said.
Among its concerns was that the offer price was at a substantial discount to comparable IVF transactions in the Australian market, it added.
“The board has therefore determined to reject the proposal in its current form,” Monash IVF said.
The offer comes after two embryo transfer mix-ups earlier this year sent the company’s shares tumbling and rattled investor confidence. Former chief executive Michael Knaap resigned in June.
Monash IVF pioneered the world’s first IVF pregnancy in the 1970s.
Bloomberg
