Deltic makes no offer for Revolution, clears way for Stonegate
Nightclub owner Deltic has decided not to make a formal offer for Revolution Bars before the deadline, meaning the path is now clear for Slug and Lettuce owner Stonegate to crack on with its takeover.
REVOLUTION BARS
£0.01
17:35 26/04/24
Ahead of the 1700 BST deadline on Wednesday, Deltic confirmed that it was not going to make a cash offer or merger proposal for revolution.
"Although the possible merger proposals set out by Deltic in its announcements of 5 October 2017, 9 October 2017 and 10 October 2017 was Deltic's preferred structure through which to combine the businesses of Deltic and Revolution, it is not possible to implement the revised merger proposal without the full engagement and agreement of the directors of Revolution which, as at the date of this announcement, has regretfully still not been forthcoming."
Deltic will now have to wait six months if it wants to make another offer. In the meantime, Revolution shareholders are due to vote next week on Stonegate's 203p a share offer.
However, the company's statement late on Tuesday seemed to suggest it has not completely lost interest in Revolution as it said it would consider making an offer within the next six months if Stonegate's offer was withdrawn or lapsed or if a third party announced a firm intention to make an offer.
On Monday, Revolution rejected an all-share merger proposal from Deltic, which owns the Pryzm and Atik brands, suggesting that the group make a cash offer.
At 1330 BST, Revolution shares were down 2.4% to 201.56p.