AP Eagers has taken its interest in Automotive Holdings Group to 38 per cent despite its rival vehicle retailer telling shareholders not to accept its takeover offer just yet.
AP Eagers, which was already the largest shareholder in AHG with a 28.8 per cent stake, said Friday its all-scrip offer had been accepted by institutional holders representing another 9.15 per cent of shares on issue.
AHG this week urged shareholders to sit tight until it had prepared its target statement in response to AP Eagers’ conditional offer of one share for every 3.8 AGH shares.
AHG, which has said it will release its target’s statement on or before May 8, on Friday appointed Richard England as chairman.
Mr England has more than 25 years of experience in non-executive director and chair roles with listed and unlisted companies, which AHG says will allow him to consider the offer while management focuses on running the company.
Mr England said he would thoroughly consider all potential opportunities to maximise shareholder value.
“I am honoured to have been asked to join the board of AHG at a time of significant transformation and opportunity,” he said
At 1430 AEST, AHG shares were 2.0 per cent lower at $2.34, while AP Eagers was up 0.9 per cent at $8.74.