A consortium of BC Partners and Cheyne Special Situations Fund have been refused permission to conduct due diligence by Swiss plastics group Quadrant, ahead of a possible CHF825-908 million ($686-756 million, €501-552 million) bid.
The buyout firms have said they are prepared to make an offer of between CHF300-330 per share after satisfactory due diligence.
However, Quadrant’s board declined the pre-offer due diligence request. Despite this, the group’s shares were up 10 percent on the news of the bid to CHF 225.5 at 1504 CET – although this remains well below the bidders’ offer price.
The board said in a statement: “A highly leveraged take-private bid would substantially jeopardise the further pursuit of the board’s growth strategy dedicated to Quadrant’s steady and sustainable increase in value. Further, the board is convinced that the publicly available information on Quadrant is sufficient for a possible public offer in the mentioned price range.”
The board said it would examine any binding offer.
Switzerland has proved a successful investment area for BC Partners. It sold Hirslanden Finanz, Switzerland’s largest private hospital group, to listed South African company Medi-Clinic for CHF 2.8 billion earlier this month.