JOHANNESBURG (Reuters) – South Africa’s Curro Holdings is considering resubmitting a $485 million takeover offer for smaller rival Advtech, raising the prospect of hostile bid after the offer was spurned by the target’s board this week.
Advtech’s board rejected the offer on Tuesday, saying that it was not in the interest of the company.
Curro said on Wednesday it had the support of Advtech’s largest shareholders for the 13 rand per share offer that values the company at 6 billion rand ($485 million).
“Curro is still contemplating whether to resubmit an offer, albeit in a potentially different format,” South Africa’s largest private education group said in a statement.
Two top shareholders in Advtech said on Wednesday they will accept Curro Holdings’ $485 million takeover offer.
Coronation Asset Management and the Kagiso Asset Management hold combined more than 35 per cent of Advtech, South Africa’s second-biggest private schools operator.
Shares in Advtech climbed 5.6 percent to 12.25 rand by 0240 GMT.
($1 = 12.3758 rand)