The friendly merger between project engineering outfit Emerson Stewart Group and risk management company Greencap has been terminated.
Both announcements are below:
Emerson Stewart Group Limited (ASX: ESW) announces that following the expiry of the agreed due diligence period, the merger proposal with Greencap Limited has now lapsed. Although negotiations over the period of due diligence were constructive and cordial, an appreciation was ultimately realised that the strategic aims of each organisation were not in parallel.
ESW is continuing to review other growth and acquisition opportunities better aligned to its strategic aims, to which it will continue to apply its disciplined approach to assure ESW shareholder value.
Following detailed due diligence it has been mutually agreed to discontinue current merger talks.
Mr Jeffrey Broun, Managing Director of Greencap Limited said "we continue to evaluate a number of strategic acquisitions capable of adding value for our shareholders. Our focus continues to be on organic growth as well as growth through acquisition."