Hargreaves Lansdown plc (LON:HL) today issued a statement regarding a proposed joint venture consisting of CVC Advisers Limited, Nordic Capital XI Delta, SCSP and Platinum Ivy B 2018 RSC Limited.
Hargreaves Lansdown noted that it had previously received two approaches from the Consortium regarding a potential offer for Hargreaves Lansdown, most recently at a price of 985p per common share in Hargreaves Lansdown’s share capital – or a total of approximately £4.7bn ( 6 .0 billion USD).
Hargreaves shares traded in a fairly tight range of 700-750 pence from February until the end of April, when the stock started to rise on takeover speculation. Shares in LON:HL closed Wednesday at 979 pence.
The Board confirms that it has unanimously rejected the Proposal on the grounds that it materially undervalues Hargreaves Lansdown and its future prospects. The Board says it is focused on implementing its strategy and looks forward to updating the market on full-year results on August 9, 2024. In the meantime, shareholders are advised to take no action.
Pursuant to Rule 2.6(a) of the Code, no later than 5:00 p.m. of 19 June 2024, i.e. 28 days after today’s date, the Consortium must either announce a firm intention to bid for Hargreaves Lansdown in accordance with Rule 2.7 of the Code or announce that it does not intend to bid for Hargreaves Lansdown. This deadline may only be extended with the agreement of Hargreaves Lansdown and the Acquisition Team in accordance with Rule 2.6(c) of the Code.
There can be no assurance that any firm offer will be made.