Apax Improves Offer for Kin + Carta Shares

UK-based digital transformation consultancy Kin + Carta has received an increased and final offer from the Apax Partners company due to acquire it, equivalent to 120p per share, and has recommended its acceptance.

The firms announced in mid-October that Apax had bid 110p per share, valuing the company at around £203m. The new offer values the entire issued and to be issued share capital of Kin and Carta at c.£220.3m on a fully diluted basis, implying an enterprise value of £258m, and represents a 54% premium to the closing price of shares on October 17th. This offer will not be increased unless in response to a rival bid or unless 'the Takeover Panel otherwise provides its consent'. Other terms remain as they were in October.

The Board, led by Chairman John Kerr (pictured) says it considers the terms fair and reasonable, and the offer in the best interests of shareholders, and that considering Kin and Carta is 'a relatively small-scale player' in the DX competitor landscape, the deal represents an opportunity to 'expand its capabilities, resources and access to capital in a way which is challenging to achieve on a standalone basis'. The Board also referred to 'significant market headwinds across the DX industry' in the last twelve months, 'driven by hesitance among enterprise clients to commit to large programmes of work in the current macro environment'.

Web site: www.kinandcarta.com .