Shares in dual-listed Trade Me Group Ltd (ASX: TME) are up 3.1% to NZ$6.24 in morning trade after the New Zealand internet giant received an alternative takeover offer from San Francisco-based private equity group Hellman & Friedman at NZ$6.45 per share.
This is subsequent to a November 21 bid from New York-based private equity group Apax Partners at $6.40 per share as the potential for a takeover battle will please existing Trade Me investors.
On receipt of the Apax offer Trade Me agreed to provide Apax due diligence access to its books, with a caveat that it could also provide other third parties access if it received any unsolicited proposals. Therefore Trade Me has informed the market that it will also grant Hellman & Friedman access to its books.
Trade Me is a popular asset due to its strong competitive position in New Zealand across the e-commerce space, with the strong US dollar also making overseas assets like Trade Me cheaper on an FX-adjusted basis for US investors.
