(Alliance News) - Ten Entertainment Group PLC on Wednesday said it agreed to a takeover from Neon Buyer Ltd, a vehicle indirectly owned by investment funds advised by Trive Capital Partners LP.
Ten Entertainment, a ten-pin bowling operator, said Neon Buyer will pay 412.5 pence per share, a 33% premium to its 310p closing price on Tuesday. The deal values Ten Entertainment at GBP287 million on a fully-diluted basis.
The company's shares jumped 31% to 407.26p on Wednesday morning in London.
Ten Entertainment said: "Notwithstanding the opportunities to accelerate this growth, the TEG directors are conscious of the need to be balanced against the uncertainties and risks that exist in the short and medium term. TEG is not immune to the highly unstable national and international political outlook together with a volatile economic backdrop, all of which have impacted UK economic conditions and UK consumer confidence as well as having led to significant inflation in certain input costs."
Ten Entertainment expects the takeover to complete during the first quarter of 2024.
North Atlantic Smaller Companies Investment Trust PLC, an investor in smaller companies based in countries bordering the North Atlantic Ocean, noted the announcement.
It added that it expected a net asset value per share uplift of 87 pence compared to its October 31 NAV price, which is an NAV uplift of about GBP11.8 million. North Atlantic Smaller's NAV per share excluding current period revenue under the equity accounting method was 5,074.49p as at October 31.
North Atlantic Smaller shares rose 0.7% to 3,907.82p on Wednesday morning in London.
By Tom Budszus, Alliance News slot editor
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