Business
Recommended Acquisition of VT
Recommended Acquisition of VT.
About this update from Babcock International Group Plc
[{"type":"text","content":"\n RNS Number : 9995I Babcock International Group PLC 23 March 2010 \n \n\nTHIS ANNOUNCEMENT IS AN ADVERTISEMENT AND NOT A PROSPECTUS AND INVESTORS SHOULD NOT SUBSCRIBE FOR ANY BABCOCK INTERNATIONAL GROUP PLC SHARES EXCEPT ON THE BASIS OF INFORMATION IN THE PROSPECTUS WHICH IS PROPOSED TO BE PUBLISHED BY BABCOCK INTERNATIONAL GROUP PLC IN DUE COURSE\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION\nFor immediate release\n23 March 2010\nBabcock International Group PLC\nRecommended Acquisition of\nVT Group plc\n \nSummary\n· The boards of Babcock International Group PLC (\"Babcock\") and VT Group plc (\"VT\") are pleased to announce that they have reached agreement on the terms of the recommended acquisition by Babcock of all of the issued and to be issued share capital of VT (the \"Acquisition\"). \n· As set out below, the terms of the Acquisition value each VT Share at 750 pence based on the undisturbed Babcock share price and 734.9 pence based on the latest Babcock Closing Price. On the basis of Babcock's latest Closing Price, the terms of the Acquisition value the existing share capital of VT at approximately £1,326 million.\n· Under the terms of the Acquisition, VT Shareholders will receive:\n\n\n\n\nfor each VT Share:\n\n\n361.6 pence in cash; and\n\n\n\n\n\n\n\n0.701 New Babcock Shares.\n\n\n\n\n \n· The consideration under the terms of the Acquisition represents a value of:\no 750 pence per VT Share, based on the undisturbed Closing Price of 554 pence per Babcock Share on 12 February 2010 (being the last Business Day prior to the announcement by Babcock of a possible offer for VT), representing a premium of approximately 42 per cent. to the average Closing Price of 527 pence per VT Share for the one month trading period to 12 February 2010;\no 734.9 pence per VT Share, based on the latest Closing Price of 532.5 pence per Babcock Share on 22 March 2010 (being the last Business Day prior to the date of this announcement), representing a premium of approximately 39 per cent. to the average Closing Price of 527 pence per VT Share for the one month trading period to 12 Fe...