Murryhill Ltd, a company wholly controlled by Mr Denis O'Brien said today it has launched a mandatory cash offer worth 50.5p per share for PGA European Tour Courses PLC, valuing the company at £32 million sterling.
Last week, waste management entrepreneur Mr David Warren announced that he was considering making a bid for PGA ETC.
Today's bid by Mr O'Brien was triggered by Murryhill's acquisition of a 29.99 per cent stake in PGA for 50.5p a share, or £9.6 million in total, from ClubCorp (UK) Ltd.
This acquisition lifted Mr O'Brien's total holding in PGA to 41 per cent, requiring him to make a bid for the outstanding shares under British City Code takeovers and mergers rules.
The bid is at a 44 per cent premium to the closing share price of PGA on August 3rd, the day before Mr Warren's announcement.
Mr O'Brien said he plans to begin friendly discussions with the PGA ETC board immediately "with a view to securing their recommendation of the offer".
AFP