The board of Lamprell has announced that it has received a non-binding indicative cash offer from Blofeld Investment Management to acquire the entire issued and to be issued share capital of the fabricator.
Blofeld is already a 25.06% shareholder in Lamprell.
The board said it is considering the possible offer in light of the group’s liquidity position and the company’s funding requirements of $75m over the next two months.
Lamprell said the offer is at a “very significant discount to the prevailing share price and any acceptable offer would need to include an interim funding solution or bridge financing”.
The parties have been in discussions for more than two months but have not reached agreement on the price or conditions of the offer or in relation to the interim funding solution or bridge financing, it added.
Lamprell and Blofeld will continue to work together to try to reach a workable solution by way of an updated offer, which also provides a solution to the immediate liquidity needs of the group, the fabricator said.
“There can be no certainty that any offer for the company will be forthcoming nor as to the terms of any such offer, nor any certainty as to agreement on the interim financing solution with Blofeld, particularly in the time available,” Lamprell added.
It said: “In accordance with rule 2.6(a) of the code, Blofeld must, by not later than 5.00 pm (London time) on 22 July 2022, either announce a firm intention to make an offer for Lamprell in accordance with rule 2.7 of the code or announce that 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 with the consent of the panel in accordance with rule 2.6(c) of the code.
“There can be no certainty that any firm offer will be made nor as to the terms on which any firm offer might be made.”
The announcement has been made without the consent of Blofeld.
A further update will be made as and when appropriate, Lamprell said.