Vocus Group is reportedly preparing a counter bid for broadband provider Uniti, following Morrison & Co’s $3.06 billion takeover offer.
The official bid won’t be made for at least four weeks, as Morrison & Co have exclusive negotiations and access to data for that long.
Morrison’s offer of $4.50 a share is “fair”, according to analysts at Ord Minnett, who say it is in line with other deals in the industry.
The offer adds 16 per cent premium to Ord Minnett’s valuation, with 23.6 times the forecast 2022 earnings, including debt.
Ord Minnett said recent telco infrastructure transactions have “ranged between 15.5 times and 28 times forecasted earnings.”
Unit shares closed at $3.96 yesterday.
