Paint giant Dulux has attempted a take over of construction supplier Alesco, however their offer of $188 million for the remaining 80%, or $2 per share, has been rejected.
Alesco, who supplies construction products, cabinet and window products and garage doors, have confirmed that the amount offered was too low with the desired amount being $2.52 per share, a price they willing to drop to $2.23, no lower.
“DuluxGroup’s opportunistic offer undervalues Alesco,” Alesco’s chairman said. “It does not adequately recognise the value of Alesco’s strong portfolio of market leading brands and individually valuable businesses.”
“Equally, the offer does not recognise the benefits of a recovery in the detached housing and renovation markets. Each Alesco director who holds Alesco shares intends to reject DuluxGroup’s inadequate offer and we urge all Alesco shareholders to do the same.”
