Aug 20 (Reuters) - Australia’s Eclipx Group, a fleet management service provider, rejected an A$806.6 million ($590.1 million) cash and stock takeover offer from peer SG Fleet Group Ltd on Monday, describing the offer as “inadequate”.
The offer of A$2.00 cash and 0.15 SG Fleet shares per Eclipx share, translates to A$2.5235 per Eclipx share and represents a 17.9 percent premium to Eclipx’s closing price on Friday.
Eclipx has already started a strategic review to evaluate the merits of “alternative customer orientated initiatives” and corporate actions available, the firm said in a statement.
It added that it intends to retain UBS AG and Herbert Smith Freehills as advisors for this purpose. ($1 = 1.3669 Australian dollars) (Reporting by Aaron Saldanha in Bengaluru; editing by Richard Pullin)