(Alliance News) - Purplebricks Group PLC on Friday said an indicative takeover proposal from real estate company Lecram Holdings Ltd was not better than a potential offer it had received from estate agency Strike Ltd.
Purplebricks shares ended 41% higher at 0.67 pence each in London on Friday.
Purplebricks, a Solihull, England-based online real estate agent, said the indicative proposal by Lecram of 0.5 pence per share was not an improvement to the offer it had received from Strike.
It said the proposal was not better than Strike's "particularly as regards anticipated return to shareholders and certainty for the company's other stakeholders."
Strike Wednesday last week offered a total of GBP1, with Strike to assume most of its liabilities. The transaction would mean the firm holds a cash balance of GBP5.5 million, and would return net cash proceeds of around GBP2 million to shareholders after certain costs.
Purplebricks continued to recommend shareholders vote in favour of the potential takeover by Strike at its general meeting next week Friday.
Purplebricks has launched a strategic review to consider the options available to the company back in February. Following this, its formal sale process was launched at the start of March.
By Tom Budszus, Alliance News reporter
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