© The Financial Times Ltd 2015 FT and 'Financial Times' are trademarks of The Financial Times Ltd.
December 17, 2012 8:28 pm
Dutch marine services group Boskalis raised its bid for heavy-lift transport company Dockwise to €18 a share, in a move analysts said made it highly likely the acquisition will go through by early next year.
Boskalis’s decision to increase the offer from the initial €17.20 a share was prompted by objections from Dockwise’s management, which said it undervalued the company which has made recent heavy capital expenditures.
In a press release responding to Boskalis’s offer, Dockwise said it was “encouraged” by the higher bid, which values the company's equity at €690m.
Boskalis had acquired 33 per cent of Dockwise’s stock on the open market as of Monday morning, and a further 32 per cent are held by HAL Investments, which also owns 33 per cent of Boskalis and has committed to supporting the takeover.
With the further support of 7.4 per cent shareholder Project Holland Beheer, Boskalis is “very close to the 75 per cent shareholding hurdle” needed for board control, Thijs Berkelder, an analyst at ABN Amro, wrote in a note.
Boskalis, the world’s largest dredger with €2.8bn in revenues in 2011, says the new price represents a premium of 69 per cent over Dockwise’s closing price on November 23, before the first offer was made.
Dockwise, which operates the world’s biggest heavy-lift ships for moving drilling platforms and other infrastructure, has argued that price was low because recent earnings were depressed by investments. The company spent about $240m to build the world’s largest heavy-lift ship, the Dockwise Vanguard, which was christened earlier this month.
Please don't cut articles from FT.com and redistribute by email or post to the web.
Sign up for email briefings to stay up to date on topics you are interested in