Login
iscover
Domain Holdings confirmed via an ASX announcement this morning that it has received an unsolicited bid of acquisition from the CoStar Group, following the US company’s acquisition of 16.9 per cent of its ordinary shares on 20 February.
The non-binding indicative proposal would see CoStar acquire 100 per cent of Domain’s issued capital at $4.20 per share.
CoStar is an information, analytics and news platform for commercial real estate, with an inventory of over 7 million commercial properties.
According to CoStar’s website, it includes off-market investment opportunities and appraisal tools, and provides insight into the financial performance of assets.
The ASX announcement comes just a day after CoStar acquired 16.9 per cent of Domain’s ordinary shares at $4.20 per share.
Domain’s controlling shareholder Nine Entertainment noted the announcement, reiterating the property group’s importance within the media juggernaut.
“Domain is of strategic importance to Nine’s media ecosystem and our long-term growth strategy. Nine will consider the proposal with a focus on the best interests of Nine shareholders,” it said in an ASX statement.
Domain has confirmed that it will appoint advisers to assist in the process, and the board is commencing an assessment of the proposal.
The acquisition is still conditional on CoStar entering a scheme of implementation agreement, including no adverse changes to the business, completion of due diligence, unanimous approval from Domain’s board of directors, final CoStar approvals and execution of binding transaction documents.
The scheme of implementation is also conditional on approval from Australia’s Foreign Investment Review Board.
Domain advised through the ASX that shareholders do not need to take any action as of yet.
“There is no certainty that the proposal will result in a transaction.”
You are not authorised to post comments.
Comments will undergo moderation before they get published.