Revolution Bars Group shareholders yesterday voted against Stonegate’s £101.5m bid for the company.
At the court meeting 46% of voters supported Stonegate’s cash offer while the general meeting saw the proposed deal backed by 61%. Stonegate needed the support of 75% of shareholders to progress its plans.
The board of Revolution said it remained confident of the underlying strength of the business and its ability to operate as a standalone group.
It said: “The board considers that its clear and focused strategy, the quality of Revolution’s sites and customer proposition, and the talent within the business, leave the business well placed for further growth. Revolution is proud that it has delivered 16 consecutive quarters of like-for-like sales growth. The board is pleased that the management team is now able fully to focus on running the business, starting with the successful delivery of the important Christmas trading period. The board would like to thank shareholders for their support of the business during this extended offer period and will work tirelessly to deliver its strategy and to maximise shareholder value.”
Stonegate issued a statement wishing the board and shareholders all the best as an independent business.
Chairman Ian Payne said: “Stonegate has always been disciplined in its approach to acquisitions. We put forward what we believed to be an attractive proposal and made an offer at a 62% premium to the undisturbed share price which was unanimously recommended by the Board. However, we respect the shareholders’ decision and wish them all the best.”
Meanwhile, Deltic said it noted “with interest” the result of the meeting and reiterated that negotiations over its merger proposal could recommence with the support of the Revolution board.
Revolution’s share price ended yesterday on 177.5p.
