Parmalat offer by Lactalis ruled unfair to minority shareholders by advisor (translated)
26 FEB 2017
Intermonte, the advisor commissioned by activist investor Amber and minority shareholders association Azione Parmalat, has ruled in its fairness option that Lactalis’ bid for Parmalat [BIT:PLT] undervalues the company, Italian language daily Il Messaggero reported.
The article cited a statement by Intermonte noting the EUR 2.8 per share being offered by Lactalis is unfair, and estimated Parmalat's shares to be worth between EUR 3.02 and EUR 3.52 a share based on market multiples and EUR 2.9 and EUR 3.58 a share based on actual cash flows.
In December, privately owned Lactalis announced it would launch a voluntary tender offer for all outstanding ordinary shares of Parmalat at EUR 2.80 per share, or EUR 636.7m in total.