Australian financial services group Insignia Financial Ltd has received a second takeover bid, this time valuing it at A$2.9 billion.
Insignia Financial said it received a confidential, non-binding and indicative proposal from private investment firm CC Capital Partners on 3 January 2025 to acquire all shares by way of a scheme of arrangement.
It said the proposal was to buy the shares at $4.30 cash each (adjusted for dividends paid or payable after the date of the indicative proposal) or roll the shares into an unlisted stub equity subject to caps and scale-back.
The proposal represented a 7.5% premium to the non-binding indicative proposal of $4.00 cash per share received on 12 December from private equity giant Bain Capital, which valued Insignia at $2.7 billion.
Insignia said its Board and financial and legal advisers were considering the proposal to assess whether it was in the best interests of shareholders to engage with CC Capital.
“There is no certainty that the Indicative Proposal will result in a binding offer or that any transaction will eventuate. IFL shareholders do not need to take any action in relation to the Indicative Proposal,” it said.
The proposal is subject to a number of conditions including satisfactory completion of due diligence on an exclusive basis and execution of a binding scheme implementation agreement.
Insignia had rejected the bid from Bain Capital, which also owns Australia’s second largest airline Virgin Australia.
Insignia (ASX: IFL) shares last traded at $3.54.
