By a staff reporter
The RHG Ltd board has accepted a sweetened takeover bid from a syndicate led by Resimac Ltd, put by the group to counter a rival offer from mortgage lender Pepper Australia Pty Ltd.
In a statement to the Australian Securities Exchange, RHG said it had accepted a counter proposal from the Resimac syndicate of 48 cents per share, an increase of 3.9 cents per share over the original offer.
The board last week recommended a takeover bid from the syndicate, which also includes Australian Mortgage Acquisition Company Pty Ltd, before Pepper Australia launched a rival offer of 46 cents per share for cash consideration.
The Australian Financial Review reports that the revised offer values the company at around $157.3 million.
The directors unanimously agreed to accept the offer, describing it in a statement as "superior for RHG's shareholders as a whole compared with the competing transaction".
RHG, formerly RAMS Home Loans, had its shares placed in trading halt this morning as the group executed the revised merger implementation deed.
Shareholders will also receive a fully franked dividend of 3 cents per share announced on July 8, taking total cash payments to 51 cents per share for investors on the register at both dates.