(Updates with Assura response on Tuesday)
Investment firm Kohlberg Kravis Roberts & Co. L.P. (KKR) said on Monday that Assura plc, the Altrincham-based healthcare real estate investment trust (REIT), has rejected four recent takeover proposals from KKR.
Meanwhile, Universities Superannuation Scheme Limited said it “does not intend to make an offer for Assura, as part of the consortium or otherwise.”
In a stock exchange statement, KKR said: “In response to the recent announcement by Assura plc on 14 February 2025, Kohlberg Kravis Roberts & Co … confirms that it has submitted four indicative non-binding proposals to the Assura board regarding a possible cash offer for the entire issued and to be issued share capital of Assura, most recently at 48.0 pence per share, which was sent on 13 February 2025.
“The latest proposal values the fully diluted ordinary share capital of Assura at £1,562 million …”
KKR said its latest proposal represents a 28.2% premium to Assura’s closing share price of 37.4p on February 13. Assura shares on Monday were trading up around 12% at 44p.
“This follows significant work over the last 6 months which resulted in three previous written proposals made to the board of Assura, each of which was rejected unanimously by the board. On 15 February, the board rejected the latest proposal,” said KKR.
“KKR believes that the terms of the latest proposal offer a highly attractive opportunity for Assura shareholders to realise their investment in cash at a significant premium to prevailing market prices …
“KKR is considering whether there is any merit in continuing to try and engage with the board. There can be no certainty that any firm offer for the company will be made. A further announcement will be made as and when appropriate.
“In accordance with Rule 2.6(a) of the code, KKR must, by not later than 5.00 pm (London time) on 14 March 2025, being 28 days after 14 February 2025, either announce a firm intention to make an offer for the company 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 Takeover Panel in accordance with Rule 2.6(c) of the code …”
Assura said in a statement on Tuesday: “The Board of Assura plc notes the announcement from KKR yesterday relating to the indicative, non-binding proposal that it submitted to the Assura Board on 13 February 2025 regarding a possible cash offer for the entire issued share capital of the company at 48 pence per share.
“The board confirms that it considered the proposal carefully with its advisers and concluded that it materially undervalued the company and its prospects and therefore rejected it unanimously. No further proposal from KKR has been received …
“The board remains confident in the long-term prospects of the company and believes that Assura is strongly positioned to create value for shareholders …
“Shareholders are advised to take no action.”