AUCyber Receives Unsolicited Takeover Bid from 5GN Networks at $0.11 per Share

December 20, 2024 02:27 PM AEDT | By Team Kalkine Media

AUCyber Receives Unsolicited Takeover Bid from 5GN Networks at $0.11 per Share — Image source: shutterstock

Takeover Details

The offer price represents a modest 0.9% premium over AUCyber's 5-day volume-weighted average price (VWAP) up to 19 December 2024. Despite this offer, the AUCyber Board has advised shareholders to take no immediate action as it is still in the early stages of evaluating the proposal.

Stakeholding of Non-Executive Directors

Related entities of AUCyber’s Non-Executive Directors own a combined 40.6% of the company's shares. This includes:

Craig Scroggie – 31.96%
Cathie Reid – 7.59%
Ross Walker – 1.09%

These directors and their related entities have stated their intention to take no action in relation to the offer at this time.

Next Steps

The AUCyber Board plans to engage legal and financial advisers to evaluate the takeover bid and explore potential alternatives to maximize shareholder value. A formal Target Statement will be issued in the coming weeks outlining the Board's response to the offer. The bid is set to close on 6 February 2025, unless extended.

Following the announcement, AUCyber's shares jumped by 22% to 12.5 cents per share as of 20 December 2024.

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