Takeover target Village Roadshow said private equity firm BGH Capital has made an unsolicited offer of $776.9 million for the Australian firm that backed films like ‘The Great Gatsby’ and ‘Joker’.
The offer of $4 per share in cash was a cent higher than the share indicative offer that it received in December from another private equity Pacific Equity Partners (PEP).
PEP did not immediately respond to a request for comment on the rival offer.
The company, which also operates movie theatres, said an independent committee was reviewing both proposals and urged shareholders not to act at this point.
While the buyout offers are conditional, the company had in December said it was willing to allow PEP to conduct due diligence.
The Melbourne-based company had also said that its top shareholder had entered into a call option with an associate of PEP for about 19 per cent of its shares.
Village Roadshow is being advised by UBS and Stratford Advisory Group.