LONDON (Alliance News) - Clear Leisure PLC Friday said it has received an unsolicited, but binding and fully-financed offer from Milan based building contractor Generali Investimenti Holding to acquire the company?s entire holding in Mediapolis SpA.
It said that if it accepts the offer, Generali can either pay EUR20 million in cash, or EUR3 million in a mixture of cash and assets. If it takes the first option, the Italian company would pay EUR7 million to Clear Leisure and EUR13 million to settle a debt to the company. If it takes the second option, it would settle the debt and transfer EUR17 million of unencumbered real estate assets to Clear Leisure.
?Whilst your Board is mindful to accept this offer, we will await the fulfilment of the two external conditions before seeking any required approvals from shareholders under the AIM Rules. However, in the interim period, we are extremely gratified that this offer further underlines the inherent valuation of your company?s assets," Clear Leisure Chief Executive Alfredo Villa said in a statement.
The external conditions are approval by a tribunal court in Italy of a proposal to restructure Mediapolis' debt, and receipt of a final building approval by the Piemonte local authority, a permit it expects to get in the next couple of months.
The cash only payment option is equivalent to more than 3 pence a share, while the cash plus assets options is equivalent to more than 7.15 pence a share.
"Generali?s offer is for only one of Clear Leisure?s assets, but it is worth a minimum of 3p per share in cash. This minimum valuation alone is 2 ½ the Company?s current market valuation," Villa said.
Clear Leisure is an investment company with a portfolio of companies primarily encompassing the leisure and real estate sectors, mainly in Italy but also other European countries.
Its shares were trading up 122% at 3 pence early Friday, the biggest gain on AIM.
By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1
Copyright © 2013 Alliance News Limited. All Rights Reserved.
