The board of GlobeOp Financial Services SA (GlobeOp) has confirmed speculation that the fund administrator is in discussions with private equity firms Advent International Corporation and TPG Capital about a possible offer for the company.
GlobeOp’s Board stated that it remained confident about the company’s current trading and future prospects as described in its pre-close trading update on 21 December 2011 and added that it believes that the company’s share price significantly undervalues its future prospects.
The Board is undertaking a detailed review of its strategic options to ensure that long-term value for shareholders is maximised and has appointed Evercore Partners to advise on this review.
As part of this process, GlobeOp confirmed it is holding discussions with Advent International Corporation and TPG Capital regarding possible offers. These discussions remain at a preliminary stage and there can be no certainty that an offer will be made. In light of the possibility that certain directors may become involved in such an offer the Board has established an Independent Committee to conduct these discussions and consider any proposals received.
GlobeOp’s Chairman Ed Nicoll, says: "GlobeOp is performing extremely well and we are confident of continuing the strong growth of the business under our current ownership structure. Nevertheless, the Board felt it right to explore options which could enhance the interests of clients, employees and shareholders."
In accordance with Rule 2.6(a) of the Code, each of Advent International Corporation and TPG Capital must, by not later than 5.00 p.m. on 2 February 2012, either announce a firm intention to make an offer for the company in accordance with Rule 2.7 of the Code or announce it does not intend to make an offer, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies. This deadline will only be extended at the company’s request with the consent of the Takeover Panel in accordance with Rule 2.6(c) of the Code.
