Couche-Tard has extended its offer to buy all of the outstanding shares in Casey’s General Stores amid claims that only 12% of the US group’s shares have been tendered in favour of the Canadian c-store retailer.
Couche-Tard has now extended its US$36.75-a-share offer to expire on 30 August. It had been originally been scheduled to end on 6 August.
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“The low – and declining – number of shares tendered clearly demonstrates that Casey’s shareholders do not support Couche-Tard’s inadequate, highly conditional US$36.75 per share offer,” Casey’s said yesterday (2 August).
“The number of shares tendered into Couche-Tard’s offer has declined to 12% of Casey’s issued and outstanding shares from approximately 19.2% on 12 July 2010, notwithstanding Couche-Tard’s slight increase of its offer from $36 to $36.75 per share on July 22, 2010.”
The move is the latest salvo in an increasingly hostile pursuit of Casey’s by Couche-Tard.
Last week, in a bid to thwart Couche-Tard’s interest, Casey’s unveiled a $500m recapitalisation plan to help grow the business and offer more value to shareholders.
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By GlobalDataCouche-Tard CEO Alain Bouchard responded by saying he was “disappointed” by Casey’s launching the share offer “without even sitting down to talk to us”.
“We believe that our shareholders recognise the superior value we are creating through our continuing strong performance, strategic growth initiatives and highly accretive recapitalisation plan,” Casey’s added.
