Qube Logistics has announced its intention to make an off-market takeover offer for Chalmers, an Australian transport and logistics company.
Qube intends to offer holders of Chalmers Shares the option to elect to receive either (but not a combination of both) 2.31 Qube shares or $6.50 in cash for each Chalmers Share held.
The offer values Chalmers at approximately $60 million with any cash component to be funded from existing Qube debt facilities.
“The offer provides an opportunity for Chalmers shareholders to obtain liquidity for their shares at an attractive premium. The structure of the offer enables Chalmers shareholders to elect to cash out their Chalmers Shares or, by electing the scrip option, to share in the growth of the Qube Group,” Maurice James, Qube’s Managing Director said.
“The offer represents attractive value for Chalmers shareholders. The directors of Chalmers intend to unanimously recommend that Chalmers shareholders accept Qube BidCo’s off-market takeover offer for all the ordinary shares in Chalmers, in the absence of a superior proposal,” Chalmers’ Chairman, Graham Mulligan said.
According to Qube, the Chalmers transport and logistics operations, coupled with the company’s strategically located property assets, are complementary to those of Qube Logistics.
The acquisition will allow Qube to progress its growth plans while also providing an opportunity for significant cost savings by integrating the Chalmers businesses to achieve greater efficiencies and economies of scale.