Ooh Media ups Adshel bid to half a billion dollars
Ooh Media has upped its offer to buy Adshel to nearly half a billion dollars, the outdoor company has revealed to the ASX.
Adshel – which specialises in street furniture – is currently owned by Here, There & Everywhere, which also owns the Australian Radio Network.
Ooh Media told the ASX this morning that it made an indicative bid of $470m for Adshel nearly three weeks ago. The company had previously put in a lower offer which was rejected by the HT&E board.
Rumours had been circulated around a potential buyer for the outdoor company
In today note on the ASX, Ooh Media said: Although the improved indicative offer has not to date been accepted by HT&E, OML remains ready to proceed with a period of exclusivity to undertake due diligence which may permit OML to submit a binding offer for Adshel.”
Ooh Media is likely to be seeking exclusivity in the negotiations because it would prevent another player putting in a higher last minute bid. Today’s announcement from Ooh Media implies that HT&E has neither accepted nor rejected the latest offer.
The renewed bid comes almost a year after the failure of a merger between APN Outdoor and Ooh Media following concerns voiced by the ACCC competition watchdog.
Earlier this month, HT&E CEO Ciaran Davis complained about ‘untruths spoken’ about the Adshel business by rivals, addressing its expiring outdoor contracts.
At close of business on Friday, HT&E’s market capitalisation was $710.50m while Ooh Media’s was $884.03m.
