John Menzies has revealed that the board has not received a further proposal from National Aviation Service (NAS) following NAS’s purchase of £73m in shares.
The purchase by the Kuwaiti company has made it the largest investor in John Menzies following rejection of its offer to purchase the company for £468m.
NAS entered into contracts with Agilities Strategies Holding to purchase 12.1m shares in Menzies representing approximately 13.2% of the issued share capital at a price of 605 pence per share.
It also means, due to City rules that any subsequent offer for the company must not fall below this price.
In a trading statement by John Menzies, it said: “The board is confident in the execution of Menzies’ strategy and the significant potential value creation that this strategy will deliver in the near and medium term through the full impact of management actions, the return of underlying volumes to pre-pandemic levels and its pipeline of higher margin opportunities.
“Menzies is well positioned as a global player in a market with proven structural growth and will benefit from the continued recovery in flight and freight volumes.
“As announced on 15 February 2022, the board will consider the best interests of Menzies’ shareholders and all actions to maximise shareholder value.”
The board noted that there is no “certainty” the firm would receive a firm offer for Menzies or as to the terms on which the firm offer is made.
It is urging shareholders not to take any action at this present time.
Following the expressed interest to purchase in John Menzies its share price has surged above its 2019 levels and are 162 % more valuable.
Hassan El-Houry, the chief executive of NAS: "The acquisition of this significant stake demonstrates our seriousness and belief that a combination of Menzies and NAS offers a compelling opportunity to all stakeholders.”
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