Endeavour Ports pulls out of race for PD Ports
Investment group Endeavour Ports has effectively pulled out of the race for United Kingdom ports owner and operator PD Ports, by deciding not to raise its bid following a higher offer from Australian investment company Babcock & Brown.
PD Ports controls Teesport and Hartlepool in the northeast of England.
In late November, Endeavour Ports made a '246 million ($436 million) cash offer for PD Ports, equivalent to '1.42 ($2.45) per share. Endeavor is owned by Industry Funds Management, Challenger Infrastructure Fund, Challenger Life and 3i Group.
Babcock & Brown later trumped Endavor Ports' bid with a '337 million ($597 million) offer equal to '1.50 ($2.66) per share.
“Following careful consideration, the board of Endeavour Ports has concluded that the price offered by BBI Port Acquisitions (UK) Ltd. is in excess of the price which Endeavour Ports is prepared to offer. Endeavour Ports will not be revising the offers and it is therefore expected that the offers will lapse on 23 December 2005,” Endeavour Ports said in a statement to the London stock exchange.
Shares in PD Ports dropped about 1.8 percent to '1.49.25 ($2.64) at midday local time today.
Endeavour Ports pulls out of race for PD Ports
