Spotless Group Ltd expects to despatch a bidder's statement tommorow, and formally present its takeover offer to Programmed Maintenance Services Ltd shareholders.
Spotless's offer is for all the company shares either through the issue of 1.620 Spotless shares for every PRG share, or a majority share alternative of $1.50 in cash plus 1.223 Spotless shares for every PRG share.
Otherwise, it is also offering a maximum cash alternative of $3.00 in cash plus 0.825 Spotless shares for every PRG share.
An annoucement from the Spotless Group is pasted below:
Following discussions with the Takeovers Panel and Programmed, Spotless has agreed to a small number of amendments to its bidders statement which were made in order to clarify certain issues for the benefit of Programmed shareholders.
These are set out in the Supplementary bidder's statement released to the ASX on 18 April 2008.
Spotless believes the Offer remains highly attractive for Programmed shareholders, particularly in light of Programmed's recent FY2008 earnings guidance, which is disappointing and below prevailing broker consensus forecasts.
The merged group will provide a greater breadth and depth of services to an expanded set of customers and have an improved long term growth profile as a result of the combination of the two businesses.
Importantly, based on the information provided by Programmed to date, Spotless does not believe that these transactions would materially impact the level of synergies achievable through the combination of the Spotless and Programmed businesses.