Healthscope Ltd (ASX: HSO) has received another takeover offer from Brookfield.
Healthscope is one of Australia’s largest private hospital operators and Brookfield is a Canadian-based asset manager.
The takeover offer
Brookfield is offering to acquire all the shares of Healthscope through an off-market takeover over with a value of $2.455 per share, and a simultaneous scheme of arrangement representing a value of $2.585.
With the scheme of arrangement, Brookfield says shareholders can either receive their proceeds as all cash, or receive some as shares in an unlisted company that would own Healthscope.
Healthscope has decided to deny due diligence access to the BGH – AustralianSuper Consortium because the Brookfield proposal is “significantly” more attractive.
The Brookfield proposal allows Healthscope to pay a dividend of up to 3.5 cents per share. If Brookfield meets all of its obligations and Healthscope doesn’t take up that offer, Healthscope will pay a work fee of $30 million to Brookfield.
Healthscope Chairman Paul Dwyer said:
“We consider the Brookfield Proposal to be attractive for shareholders. It is superior to the BGH-AustralianSuper proposal and provides enhanced certainty. It also offers more options for Healthscope shareholders, including an option to retain an equity exposure to an unlisted Healthscope.”
There is no certainty a transaction or binding agreement will occur. The Healthscope share price is up 10% in early trade.
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