Kjerulf Ainsworth has put forward a bid to purchase 5.5% of Ainsworth’s ordinary shares at a price of AUD 1.30 ($0.92) per share. This offer follows the unsuccessful attempt by Novomatic to acquire the remainder of the company.
The Offer Represents a 23.8% Premium
Kjerulf Ainsworth, an existing shareholder, has expressed a long-standing desire to increase his holdings in the company. Previously, he submitted an offer for a 2.9% stake in response to Novomatic’s takeover bid.
Kjerulf Ainsworth highlighted that his latest offer presents a significant premium compared to Ainsworth’s recent market prices. Specifically, the AUD 1.30 per share price translates to a 23.8% premium over Ainsworth’s closing price prior to the offer’s submission. This price is also considerably higher than the AUD 1 per share proposed by Novomatic.
For background, Novomatic’s offer faced prolonged uncertainty for several months before ultimately failing due to a lack of sufficient approval. Existing Ainsworth shareholders argued that the offer undervalued the company and voiced strong opposition to the proposed agreement.
With Kjerulf Ainsworth currently holding an 8.17% stake in Ainsworth, this proposal could potentially raise his ownership to 13.25%. However, the deal, which involves acquiring 5.5% from each shareholder, would require the consent of other stakeholders.
Kjerulf Ainsworth’s offer is set to remain open until April 2026.
NOVOMATIC Couldn’t Acquire the Rest of Ainsworth
As previously noted, NOVOMATIC had previously attempted to gain complete control of Ainsworth by purchasing all of its shares. NOVOMATIC has been a majority shareholder in Ainsworth for some time, holding a 66.59% stake. However, their effort to finalize the acquisition was complicated by shareholder disputes, as the Ainsworth family and other shareholders rejected the arrangement.
These disagreements led to several postponements and had a negative impact on Ainsworth’s share price. For context, Ainsworth’s shares are currently valued at AUD 1.08 per share.