Business
Continued Rejection of ADV Offer
Continued Rejection of ADV Offer.
About this update from M&c Saatchi Plc
[{"type":"text","content":"\n \n \n \n NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN OR INTO ANY RESTRICTED JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.\n \n \n \n \n FOR IMMEDIATE RELEASE\n \n \n \n \n 13 September 2022\n \n \n \n \n M&C Saatchi plc\n \n \n \n \n (\"M&C Saatchi\" or the \"Company\")\n \n \n \n \n Continued Rejection of ADV Offer\n \n \n \n \n \n \n Further to the announcement by\n AdvancedAdvt Limited (\"\n ADV\") on 8 September 2022 of the acceleration of the timetable in respect of the ADV Offer,\n the M&C Saatchi Directors continue to unanimously recommend that M&C Saatchi Shareholders reject the ADV Offer\n by taking no action in relation to the ADV Offer.\n \n \n \n \n \n \n Strong Standalone Future for M&C Saatchi\n \n \n \n \n \n \n \n \n \n \n \n \n ·\n \n \n \n \n Financial performance: record 2021, strong 2022 interim results (the \"2022 Interim Results\") with 52.4% increase in H1 Headline Profit Before Tax (\"PBT\")\n \n \n \n \n \n \n ·\n \n \n \n \n Proven resilience\n \n \n \n \n \n \n ·\n \n \n \n \n High growth in high margin specialisms\n \n \n \n \n \n \n ·\n \n \n \n \n Strong cashflow and net cash position\n \n \n \n \n \n \n ·\n \n \n \n \n Clear plan\n \n \n \n \n \n \n \n \n \n \n \n \n ADV Offer: Low Price, High Risk\n \n \n \n \n \n \n \n \n \n \n \n \n ·\n \n \n \n \n Original ADV Offer is derisory and now even lower at current implied values. ADV share price is currently 29.1% below its share price immediately prior to its suspension on 7 January 2022\n \n \n \n \n \n \n ·\n \n \n \n \n All eighteen members of the M&C Saatchi Executive Committee (\"ExCom\") remain unanimously opposed to the ADV Offer, despite further meetings with ADV\n \n \n \n \n \n \n ·\n \n \n \n \n High risk of damaging culture, triggering a talent exodus, revenue loss and value destruction\n \n \n \n \n \n \n ·\n \n \n \n \n Disregard for US regulatory (CFIUS) filings risks significant revenue loss\n \n \n \n \n \n \n \n \n \n \n \n \n As at 8 September 2022, support for the ADV Offer from existing M&C Saatchi Shareholders was only 0.3% of the issued share capital, excluding the existing ADV and Vin Murria shareholdings.\n \n \n \n \n \n \n \n \n \n The M&C Saatchi Board u...