A Scandinavian consortium circling Dalata has not made any fresh offer to buy the group after its €1.3 billion bid was rejected earlier this month, the hotel operator said on Monday.
Oslo-based investment firm Eiendomsspar and Swedish hotel company Pandox, in which it owns an almost 25 per cent stake, said on Friday they had bought 1.69 million shares in Dalata at €6.30 – marking a premium to the €6.05-a-share non-binding offer it made for the company.
“Consequently, any firm intention to make an offer for Dalata by the consortium … if made, will be at a price of not less than €6.30 per share,” the Nordic group said. “There can be no certainty that any offer will be made.”
In a statement to investors on Monday, Dalata said it noted the announcement by the consortium on Friday that it had purchased another 0.8 per cent of the issued share capital of the hotel group.
“The board notes that whilst the Pandox Consortium has announced it has acquired 1.69 million shares at €6.30 per share, meaning its shareholding is approximately 9.6 per cent of the issued share capital of Dalata, the Pandox Consortium has not made an offer at that level.
“Since the Pandox possible offer of €6.05 per share approximately three weeks ago, the Pandox Consortium has not submitted any further proposal to the board.
“Shareholders are advised to take no action in relation to the Pandox Consortium announcement.”
The board said it “continues to engage” with parties who are participating in the formal sales process and who have submitted revised non-binding cash proposals to acquire the entire issued and to be issued share capital of the group.
In accordance with Irish takeover rules, the Pandox Consortium is required to either announce a firm intention to make an offer for Dalata no later than 5pm on July 15th, or announce that it does not intend to make an offer for the group.
“Shareholders are advised that this announcement does not represent a firm intention by any party to make an offer … and there can be no certainty that any offers will be made as a result of the formal sales process, or that any sale or other transaction will be concluded,” Dalata said.
Eiendomsspar already owned an 8.8 per cent stake in Dalata before it made the bid approach. This latest share buying brings its stake in the Irish hotel group to 9.6 per cent.
The property firm, which has a history of large investments in hotels, first emerged with a disclosable stake above 3 per cent in Dalata at the end of October. The company added to its stake the following month.
The early-June bid came as a surprise as the Pandox-Eiendomsspar consortium had not been involved in a formal sale process, managed by investment bank Rothschild, that has been going on in recent months.
Dalata, which is led by chief executive Dermot Crowley, rejected that offer, saying it “materially undervalues the group and its prospects”.
