In an announcement to the market on the 18th of October Tyro confirmed it has received approaches from several parties expressing interest in a potential change of control transaction, including Westpac Banking Corporation. The approaches announced on the 18th of October are in addition to the original takeover approach from the Potentia Capital Consortium.
The Potentia Capital Consortium original proposal was at $1.27, so any new takeover proposal would have to be priced above the $1.27 for the board to even consider
None of these approaches received so far are sufficiently definite or advanced to warrant further disclosure by Tyro at this time.
When an initial takeover is received for any company a competitive bidding process with multiple parties interested in acquiring the company typically leads to higher takeover prices.
A present no-takeover offer approach received for the company is binding and has the recommendation of the Tyro board. Until a binding offer is received there is the potential that no takeover approach might be successful.
Tyro is currently in discussions with the parties interested in acquiring the company and we expect further announcements to be forthcoming from the company in the coming weeks and months.
So, for the moment, it is a watch-and-wait situation as we wait for further news.
But just in case a firm takeover offer is not received, and all of the takeover approaches fall through, we will increase the stop loss level once again.
Trade Action
Increase Stop loss level to $1.25
