Atea: Recommended offer talks discontinued

Atea ASA (OSE: ATEA) was halted again for the second day in a row, this time in the last hour of talk, due to expected news. Yesterday it confirmed there were discussions on a possible recommended offer. Today the company said that those discussions have been discontinued Danish investor Ib Kunøe through Systemintegration ApS as the largest owner and the potential bidder failed to reach a final agreement on a sale. The IT infrastructure solutions company reported third quarter results earlier today. Revenue was up 9% to 4.45 billion NOK with EBITDA printing at 157.5 million on lower margins. Cash flow was slightly positive.

Atea confirms a recommended offer may be forthcoming

IT infrastructure solutions provider Atea (OSE: ATEA) released information that some shareholders and the Board are discussing with an international private equity firm on a possible recommended offer for all shares in the company. This was done due to media inquiries on the matter, suggesting someone was getting wind on the matter.

The largest owner Systemintegration ApS, which is controlled by Danish investor Ib Kunøe who most recently controlled 28.46% of the shares, is negotiating to sell at 65 NOK per share subject to a completion of a recommended public voluntary tender offer for all other shares of the company at 70 NOK per share.

The potential bidder has set a conditional pre-acceptances level for the 70 NOK offer with some large shareholders already having committed to selling. The Board stresses that discussions aren’t complete. The stock hopped from 57 NOK to trade above 65 NOK following a halt. The company is set to release Q3 2012 data on Thursday.