Electra’s Formal Sales Process is closed – but the Strategic Review continues
For sometime, Electra Private Equity (ELTA) has been conducting a strategic review on itself. The objective of the review has been to consider all options for the future direction of the company and to implement a strategy to optimise shareholder value. There had been two previous stages of the review and on 24th May the company began its third and final stage. Click here to read more. The strategic review isn’t going to be complete until the end of October 2018.
As well as considering other options, the third phase of the strategic review included consideration of selling the entire portfolio of assets either at asset level or through a sale of the company. In May, at the same time as exploring the possibility of selling some or all of the assets, a “Formal Sales Process” was launched. This had to happen in order to meet the regulatory requirements of considering a sale of the company, as referred to in the City Code on Takeovers and Mergers (the “Takeover Code”). An “Offer Period”, as defined in the Takeover Code, began at that point.
No firm interest has been received in acquiring the company
The board has received interest in acquiring each of the portfolio assets (individually and in groups). However, no firm interest has been received in acquiring the company as a whole.
Therefore, the board has closed the “Formal Sales Process”. It is no longer in discussion with those interested parties that had been considering acquiring the company. As a consequence of that, the company is no longer in an “Offer Period” and the requirement to make disclosures under Rule 8 of the Code has now ceased.
In the meantime, however, discussions continue with a number of parties over the possibility of acquiring portfolio assets individually and in groups. The company makes it clear that there can be no certainty that the discussions will result in one or more transactions over any or all of the portfolio assets that are acceptable to the board.
Electra’s Formal Sales Process is closed
Throughout the course of the review Electra has continued to support its portfolio companies in delivery of their strategies and will continue to do so, going forward.
The strategic review will finish at the end of October 2018
The board will report its final conclusions at that point.