JOHANNESBURG (Reuters) - The fifth-largest shareholder in Murray & Roberts (M&R) (MURJ.J) plans to reject a hostile buyout bid from Germany’s ATON that values the South African builder at nearly $600 million.
“The offer of 15 rand ($1.30) per share is below what we believe is fair value. As a result we won’t be committing to sell into this price,” Brian Pyle, an analyst at Old Mutual’s equity investment arm, told Reuters.
Financial services conglomerate Old Mutual OML.L OMLJ.J holds about 5 percent of M&R, whose board snubbed the offer from its biggest shareholder ATON, a company owned by German investor Lutz Helmig.
($1 = 11.6962 rand)
Reporting by Patricia Aruo; Editing by James Macharia