(Alliance News) - New York, US-based private equity firm Blackstone on Friday announced its funds Blackstone Infrastructure Advisors LLC and Blackstone Core Equity Management Associates LLC have formed a consortium with Cascade Investment LLC to make a joint offer to buy Signature Aviation PLC.
Blackstone said it has agreed with Cascade, a Washington, US-based holdings and investment company, to not work with any other companies on a possible joint takeover offer.
Cascade, which currently owns a 19% stake in London-based aviation services Signature Aviation, and Blackstone will make a cash offer of USD5.17 per share, about GBP3.87, through a newly formed company called Brown Bidco Ltd. Blackstone has a 70% stake in Brown Bidco, with the remaining 30% owned by Cascade.
Shares in Signature Aviation were down 4.0% on Friday in London at 401.00 pence.
Signature Aviation said in December it would "would currently be minded to recommend" a firm takeover offer at the proposed price of GBP3.17 billion.
Advanced discussions between the parties remain ongoing, Blackstone added.
According to UK takeover rules, Blackstone and Cascade are required to either announce a firm intention to make an offer or walk away by January 14.
By Zoe Wickens; zoewickens@alliancenews.com
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