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Urban Exposure suggests Wellesley proposal lacks credibility
24th Apr 2020 15:55
(Sharecast News) - Urban Exposure updated the market on the potential sale of its loan book on Friday, having received a number of enquiries.
The AIM-traded firm said that, following discussions with a number of its shareholders, it wished to clarify certain aspects of a proposal that had been made both to the company and directly to some shareholders by Wellesley Group Investors.
It said the Wellesley proposal was to acquire the company's assets, including its management operations, on terms which Wellesley equated to a value of 76.9p per ordinary share.
"The company has not received certain proof of funds on which the Wellesley proposal would be financed, nor is there a definitive timeline on which the Wellesley proposal would be capable of execution," the board said in its statement.
"Accordingly, the company has no reason to believe that the Wellesley proposal is any more credible than any other speculative unsolicited approach that may be made to the company."
The board said it would give due consideration to, and treat on the same terms, all "credible and bona fide" proposals which could be forthcoming over the sale of its assets.
"As previously announced, the company cannot provide any guarantee that any proposal regarding the acquisition of any of its assets would lead to a satisfactory deal, particularly given current market conditions."
At 1548 BST, shares in Urban Exposure were up 29% at 45.15p.
The AIM-traded firm said that, following discussions with a number of its shareholders, it wished to clarify certain aspects of a proposal that had been made both to the company and directly to some shareholders by Wellesley Group Investors.
It said the Wellesley proposal was to acquire the company's assets, including its management operations, on terms which Wellesley equated to a value of 76.9p per ordinary share.
"The company has not received certain proof of funds on which the Wellesley proposal would be financed, nor is there a definitive timeline on which the Wellesley proposal would be capable of execution," the board said in its statement.
"Accordingly, the company has no reason to believe that the Wellesley proposal is any more credible than any other speculative unsolicited approach that may be made to the company."
The board said it would give due consideration to, and treat on the same terms, all "credible and bona fide" proposals which could be forthcoming over the sale of its assets.
"As previously announced, the company cannot provide any guarantee that any proposal regarding the acquisition of any of its assets would lead to a satisfactory deal, particularly given current market conditions."
At 1548 BST, shares in Urban Exposure were up 29% at 45.15p.