Business
Possible offer by J Sainsbury
Possible offer by J Sainsbury.
About this update from Home Reit Plc
[{"type":"text","content":"\n \nRNS Number : 7438N Home Retail Group Plc 02 February 2016 \n\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION. \n \nThis is an announcement of a possible offer under Rule 2.4 of the City Code on Takeovers and Mergers (the \"Code\"). This announcement is not an announcement of a firm intention to make an offer under Rule 2.7 of the Code and there can be no certainty that an offer will be made.\n \nPossible offer for Home Retail Group plc by J Sainsbury plc \n \n2 February 2016\n \nFor immediate release\n \nThe Boards of J Sainsbury plc (\"Sainsbury's\") and Home Retail Group plc (\"Home Retail Group\" or the \"Company\") announce that they have reached agreement on the key financial terms of a possible offer for Home Retail Group by Sainsbury's (the \"Possible Offer\"). \n \nTerms of the Possible Offer \n \nUnder the terms of the Possible Offer Home Retail Group shareholders will receive per Home Retail Group share: \n \n· 0.321 New Sainsbury's shares; and \n· 55 pence in cash. \n \nProposed Capital Returns\n \nIn addition, Home Retail Group shareholders will receive payments as set out below (together, the \"Proposed Capital Returns\") per Home Retail Group share, payable before completion of the Possible Offer, of: \n \n· approximately 25 pence (the \"Homebase Capital Return\"); and\n· 2.8 pence in lieu of a final dividend in respect of the financial year ending 27 February 2016 (the \"Additional Capital Return\").\n \nThe Homebase Capital Return reflects the £200m return in respect of (and conditional upon) the sale of Homebase, announced by Home Retail Group on 18 January 2016 (the \"Homebase Sale\"). Home Retail Group intends to pay the Homebase Capital Return and the Additional Capital Return (or a final dividend) whether or not the Possible Offer is made or completed.\n \nThe Possible Offer implies a value of approximately £1.1bn for Home Retail Group's share capital, based on the closing price of Sainsbury's shares on 1 February 2016. The Possible Offer and...