LONDON (Alliance News) - TLA Worldwide PLC, the AIM-listed sports agency, could be set to be acquired by Nasdaq-listed Atlantic Alliance Partnership Corp, which was formed in the British Virgin Islands to make business acquisitions, according to a statement on Thursday.
The statement said that the two companies have agreed on the key terms of a possible offer for TLA by Atlantic Alliance.
The possible offer values TLA at 65.00 pence per share, or about GBP98.5 million. The stock closed at 41.00 pence on Thursday.
TLA shareholders will receive 10 new Atlantic Alliance shares for every 111 shares they own in TLA.
Atlantic Alliance plans to make available a partial cash alternative up to a maximum of USD60.0 million. Should they wish, TLA shareholders will be able to receive 61.5 pence in cash per TLA share instead of some or all of the new Atlantic Alliance shares they would otherwise receive in the possible offer.
TLA plans to pay a final dividend for 2015 of 0.8 pence per share, with the payment to be made before completion of the possible takeover.
Atlantic Alliance has until 1700 London time on April 21 to announce either a firm intention to make an offer or to walk away.
The founders of TLA - Bart Campbell, Michael Principe and Dwight Mighty - have a combined stake of 12.4% in the company and have indicated that they intend to vote in favour of the possible offer and exchange the entirety of their shareholding for new Atlantic Alliance shares.
TLA said it has indicated to Atlantic Alliance that it is willing to recommend the key financial terms of the possible offer to TLA shareholders, "subject to its fiduciary duties and reaching agreement on the other terms and conditions".
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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