NRW stands by Primero takeover offer

Image: NRW

NRW Holdings has stressed that it will not increase its $100 million takeover bid for Primero Group after declaring a final offer price for the target.

The contracting company has also extended its offer period until 7pm Australian eastern daylight-savings time on February 12, unless the offer is withdrawn or extended further.

All Primero Group directors have accepted NRW’s offer respective of their own shareholdings and continue to unanimously recommend that the company’s shareholders accept NRW’s offer.

NRW managing director Jules Pemberton said the company board was pleased with the strong support it has already received for the proposed takeover.

“The NRW board looks forward to successfully completing the takeover offer so we can expand our service offering via NRW’s minerals, energy and technologies division and the ability to offer clients continuity of services across the whole lifecycle of resources projects.

“(This includes) early planning, design, development, construction (and) operations and maintenance.”

NRW made the offer to take over the engineering company for $100 million back in November, citing the opportunities to combine the expertise of both companies for new business opportunities.

The contractor also noted Primero’s position in using future-focussed energy solutions such as lithium and hydrogen, citing this as an advantage in joining forces.

At the time of the offer, Primero stated that the takeover would assist the company in its growth strategy, with the combination of the two companies offering Primero clients an end-to-end delivery model.

Upon announcement, the offer valued Primero’s shares at $0.55 per share. Under NRW’s final offer, Primero’s shares are now valued at $0.59 per share.

Should the takeover go ahead, Primero’s management team will transfer ownership to NRW.

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.