PTSB says takeover by Bawag still on track despite ‘highly speculative’ bid by Axis Capital
PTSB has dismissed a potential takeover bid from Axis Capital as speculative and conditional, reaffirming its commitment to a previously agreed deal with Bawag. The bank is currently working to finalize the €1.62 billion acquisition by the Austrian firm.
Why it matters
The situation highlights the complexities of corporate mergers and the impact of unsolicited, underfunded bids on market stability.
PTSB said it remains focused on concluding its takeover by Austria’s Bawag as it characterised an announcement by a corporate advisory firm cofounded by a former boom-era banker as “highly speculative and conditional”.
Axis Capital, cofounded three years ago by former Bank of Scotland (Ireland) chief executive Mark Duffy, said on Friday evening it was considering a bid for PTSB , almost six months after the bank agreed to sell itself to Austria’s Bawag for €1.62 billion.
While it said any possible offer would be in cash at €3.20 per share – 7.7 per cent above the agreed price with Bawag – it also signalled it has yet to line up funding for such an offer.
Shares in PTSB rose 1 per cent to €3 in early trading on Monday.
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