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QANTM confirms acquisition proposal by UK player
ASX-listed intellectual property firm QANTM has confirmed it has received a proposal from a UK-based international intellectual property firm to acquire all its shares.
Jerome Doraisamy
In response to reporting from The Australian Financial Review, QANTM Intellectual Property Limited (ASX: QIP) has confirmed that it received a non-binding indicative proposal from Rouse International Holdings Limited (Rouse), which would see Rouse acquire all its shares if accepted.
It is, QANTM said in its statement to the market, “highly complementary in both geographic and service lines to QANTM”.
The board of the ASX-listed entity said that following consideration that included the “potential strategic benefits of a combination of two complementary businesses”, it has agreed to the request from Rouse to conduct due diligence with a view to putting forward a binding offer capable of being considered by shareholders.
“Given the early stage nature of discussions, there is no certainty a transaction capable of being considered by shareholders will eventuate. The QANTM board recommends that shareholders take no action at this time,” the statement read.
The news follows the firm’s release of its financial results for the half year ending on 31 December, which saw the firm’s net debt down to $21.2 million from $31.8m in the prior corresponding period and a total net revenue of $585.8 million (up from $54.1 million for an 8.7 per cent increase).
Speaking at the time, QANTM chief executive and managing director Craig Dower said: “The first half of FY24 has seen us deliver our best financial results since listing.”
QANTM first listed in 2016. It operates in Australia, New Zealand, Singapore, Malaysia, and Hong Kong and counts Davies Collison Cave among its numerous brands.
As of the time of filing this story, its share price was sitting at $1.42.
The proposal will be subject to several conditions, including completion of satisfactory due diligence and negotiation and execution of transaction documentation, QANTM detailed, adding it has appointed MA Moelis Australia as financial adviser and Gilbert + Tobin as legal adviser.
MORE TO COME.
Jerome Doraisamy
Jerome Doraisamy is the editor of Lawyers Weekly. A former lawyer, he has worked at Momentum Media as a journalist on Lawyers Weekly since February 2018, and has served as editor since March 2022. He is also the host of all five shows under The Lawyers Weekly Podcast Network, and has overseen the brand's audio medium growth from 4,000 downloads per month to over 60,000 downloads per month, making The Lawyers Weekly Show the most popular industry-specific podcast in Australia. Jerome is also the author of The Wellness Doctrines book series, an admitted solicitor in NSW, and a board director of Minds Count.
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