A consortium led by midmarket private equity firm BGH Capital increased its cash takeover offer for Australia-based education services provider Navitas Ltd. to A$5.825 per share from an earlier per-share price of A$5.50.
The revised bid reflects an increase of 32.5 Australian cents per Navitas share from the initial offer and a 34% premium to the company's stock price on Oct. 9, 2018. Navitas earlier rejected the original offer.
The updated proposal also eliminates the restrictions on Navitas shareholders Rod Jones and AustralianSuper to vote in favor of a superior proposal not matched by the BGH consortium.
Navitas said its directors plan to recommend the increased bid to shareholders, provided that the parties sign a binding scheme implementation deed with terms consistent with the revised bid and no superior proposal emerges.
The company granted the BGH consortium exclusive rights to conduct due diligence from Jan. 15 to Feb. 18.