Outdoor media company JCDecaux has finally reached a deal to acquire rival APN Outdoor for $1.2 billion.
APN Outdoor issued a statement on the ASX this morning confirming it had entered a deal to be acquired by JCDecaux for $6.70 per share, valuing APN’s equity at $1.12 billion and its enterprise value at $1.22 billion, which is slightly higher than the original bid from JCDecaux last week.
APN’s board of directors have recommended that shareholders unanimously vote in favour of the acquisition.
James Warburton, CEO and managing director of APN, said: “The recommended acquisition of APN Outdoor by JCDecaux represents an excellent outcome for our shareholders, staff and partners.
“JCDecaux’s proposal is testament to the position APN Outdoor holds in the Australian and New Zealand media sectors, and our recent strong performance, winning and retaining key new contracts.”
The acquisition is also subject to regulatory approval by the Australian Competition and Consumer Commission.
If cleared, JCDecaux will become the second largest outdoor advertising company in Australia behind oOh!media, which acquired fellow outdoor player Adshel for $570 million over the weekend.