Precinct Investments has abandoned its €1.1-billion bid to take over Jurys Doyle after recent share deals pushed shares in Ireland's largest hotel group above their offer price.
Jurys Doyle said in a statement today that Precinct had told its bidding partner, Aldersgate Investments Limited, it was no longer interested in making an offer, having already raised its bid three times since an initial offer in May.
"They have noted recent trading in the shares of Jurys Doyle and the prices at which such trades have been executed and ... have communicated to Aldersgate that they are no longer interested in participating in an offer," Jurys Doyle said.
Property developer Sean Dunne last week became Jurys' biggest shareholder after he paid as much as €18.00 per share to raise his stake to 18.2 per cent. That was above the €17.50 per share offered by Precinct for the whole company.
Precinct's bid ran into trouble a day later after Anglo Irish Bank withdrew its proposed funding for the deal, but Jurys said today the British-based billionaires behind Aldersgate had found new funding.
"The directors of Precinct were satisfied that alternative sources of finance were available to the Reuben brothers for the Precinct proposal."
Shares in Jurys were unfazed by the news and up 0.11 per cent at €17.42 in Dublin.
Two other groups of investors have said they are watching the situation and may be interested in making bids of their own for the company.