Sweden's EQT AB has submitted a sweetened takeover proposal for Australian financial services provider Perpetual, valuing the company at A$2.5 billion, or approximately $1.75 billion. This revised offer, announced on July 15, comes less than two weeks after Perpetual rejected EQT's previous A$2.45 billion bid, deeming it inadequate. The new proposal offers A$22.07 per share, representing a nearly 22% premium to Perpetual's closing price on July 1, the date of its initial approach to the market.
Perpetual's shares have responded positively to the takeover interest, gaining over 17% since July 1. This latest bid is 2% higher than EQT's earlier offer. The company's board is currently assessing the revised proposal but has cautioned that there is no certainty it will lead to a binding transaction. The offer is also subject to several conditions, including the completion of Perpetual's sale of its Wealth Management business to Bain Capital, an agreement reached in March for an upfront cash payment of A$500 million.
Despite a confidentiality clause in EQT's revised proposal that stipulated its automatic withdrawal if made public, Perpetual chose to inform its shareholders, citing its appropriateness. This latest development marks another chapter in a series of takeover attempts for the storied Australian firm, which has rebuffed interest from at least three suitors since 2022. This includes a A$1.7 billion bid from a consortium including Regal Partners in 2022 and a A$3.1 billion offer from its top shareholder, Washington H Soul Pattinson, in 2023. Founded in 1886, Perpetual was established as a trustee company.
