Rithm Capital, a real estate investment firm looking to acquire hedge fund Sculptor Capital Management, has upped its offer for the business in response to an improved bid from a rival group led by Saba Capital boss Boaz Weinstein, according to a report by the Financial Times.
The report cites securities filings made on Thursday as revealing that Rithm has now agreed to pay $676m, or $12 a share, an increase of 7.6% on a previous deal agreed in July, but still short of the price offered by Weinstein’s group, which is reportedly prepared to pay as much as $13 a share.
Sculptor’s board though, remains committed to a deal with Rithm, despite founder Daniel Och, who remains one of the the firm’s largest shareholders, having accused members of favouring a deal that protects the interests of current Chief Executive Jimmy Levin, a one-time Och protégé, rather then shareholders.
According to regulatory filings, Weinstein has now made eight separate offers for Sculptor since August and has indicated that, if the board fails to engage, Â he will launch a tender offer to buy shares from shareholders once his standstill agreement expires on 22 December.
