Acromas Holdings Ups Bid for Nestor Healthcare

Private equity group Acromas Holdings has increased its bid for Nestor Healthcare by 10%, to 110 pence per share, Reuters reported. The new terms value Nestor at about 124.1 million pounds ($195.6 million). Under the terms, Nestor would also see a second interim dividend of 2.5 pence per share. Acromas is partly owned by funds advised by Permira and Charterhouse. As of Friday, Nestor said it is in talks with Acromas, Reuters reported, but no formal offer has been received.

(Reuters) – Nestor Healthcare (NSR.L) said private equity group Acromas Holdings sweetened its indicative approach for the company by 10 percent to 110 pence per share, valuing it at about 124.1 million pounds ($195.6 million).

Under the terms, Nestor investors would also get a second interim dividend of 2.5 pence per for the year to end-December. The new approach is a 13 percent premium to Nestor’s Thursday close.

In October, Acromas, partly owned by funds advised by Permira [PERM.UL], CVC [CVC.UL] and Charterhouse [CHCAP.UL], had raised its bid by 11 percent, valuing the company at about 112.9 million pounds, but Nestor said it was too low.

On Friday, Nestor said it was still in talks with Acromas. However, no formal offer has been received, it said.

Nestor shares, which have gained 21 percent since the company rejected Acromas’ original 90 pence per share offer on Aug. 11, were up 7.4 percent at 104.75 pence at 1245 GMT on the London Stock Exchange. ($1=.6345 Pound)

(Reporting by Aditi Samajpati in Bangalore; Editing by Vinu Pilakkott)