Smartspace Software has announced that it does not currently support Skedda Holdings’ latest takeover proposal. Skedda has made a series of proposals to acquire Smartspace, with the most recent offer price being 82 pence a share, which represents a 145% premium to Smartspace’s closing price on Monday.
Upon hearing the news, Smartspace’s share price surged to 68.50 pence before eventually settling back. As of 1033 GMT, the shares were up 31.50 pence, marking its highest one-day percentage rise in a decade. Overall, Smartspace’s shares have risen by 53% in the year to date.
While a spokesperson for Smartspace Software declined to provide a specific comment on the proposal, it was revealed that the board does not currently support it. Skedda, on the other hand, believes that it can offer the necessary financial support and technical expertise to help Smartspace maintain its technological advantage. They also consider this potential acquisition to be advantageous for Smartspace’s customers and employees.
However, despite Skedda’s claims, the Smartspace board has yet to show support for their proposal. As a result, Skedda has stated that there is no certainty that a firm offer for Smartspace will be made. It is worth noting that Skedda has gained the support of JO Hambro Capital Management, Smartspace’s largest shareholder with an 8.3% stake.
Under U.K. Takeover Panel rules, Skedda has until January 9 to submit a formal proposal or withdraw their offer.
