(Alliance News) - Jubilant Foodworks Netherlands BV on Tuesday said it had acquired around 3.9 million shares in bid target DP Eurasia NV.
This takes Jubilant Foodworks holding in DP Eurasia to just under 52%.
Jubilant explained that given it now holds more than 50% of DP Eurasia's shares, it is required to make a mandatory offer to acquire all of the issued and outstanding ordinary shares and depository receipts of DP Eurasia within 30 days.
Earlier Tuesday, DP Eurasia NV told shareholders to take no action after the pizza chain master franchisee received an unsolicited takeover bid.
DP Eurasia received a takeover tilt from Jubilant FoodWorks Ltd.
Jubilant is looking to buy the remainder of the firm's shares at 85 pence each. It would value all of DP Eurasia at GBP124.6 million, and the slice of the company Jubilant does not own at around GBP63.7 million.
DP Eurasia said: "The offer is both unsolicited and unexpected. For the time being, shareholders are advised to take no action. The board is in the process of considering the offer with its advisers and a further statement will be made in due course."
The offer price represents a premium of 24% to the group's closing share price on Monday of 68.5p per share.
DP Eurasia shares rose 22% to 83.75p each on Tuesday.
In addition, DP Eurasia reported that in the 10 months to October 31, group system sales for continuing operations grew 38% to TRY6.20 billion, or GBP169.8 million, from TRY4.50 billion for the corresponding 10 months a year ago.
"This has been another excellent period for the group, and we look forward to a strong end to the financial year," it added.
By Jeremy Cutler, Alliance News reporter
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