Electronics manufacturer's share rise by almost a quarter after it rejects offer
Shares in transport electronics specialist, LPA Group in Saffron Walden put on a massive 22 per cent after it cold-shouldered a tender offer for 28 per cent of the company at 25p per share.John East and Partners acting on behalf Andrew Perloff had made a tender offer for up to 3,095,968 shares, or 28.39 per cent of the issued share capital of the group, at 25p per share.
A statement from LPA, which makes electronic components for the defence, automotive, aeropsace and rail markets among others, reminded its shareholders that its: “Unaudited balance sheet as at 31st March 2006 showed equity shareholders' funds per share of 55.2p.”
LPA's board, which holds about 10 per cent of the company, said it would not be accepting the tender offer in respect of its shareholding, and recommended that shareholders do the same.
The company said it would be writing to shareholders in the next few days to lay out its case for rejecting the offer.