Arcadis says WSP made second unsolicited proposal at €51.5 a share

Dutch engineering consultancy Arcadis is reviewing WSP's revised non-binding cash-and-stock approach after unanimously rejecting an earlier €48.5-per-share proposal as undervaluing the company and raising strategic and deal-certainty concerns.

Summary

Arcadis said it has received a second unsolicited, conditional and non-binding proposal from Canada's WSP Global for all of its shares at €51.5 per share in cash and WSP stock, after earlier takeover interest from WSP and private equity bidders reported by Reuters. Arcadis said its Executive Board and Supervisory Board are reviewing the revised approach with advisers after unanimously rejecting an earlier €48.5-per-share proposal because it fundamentally undervalued the company and did not resolve concerns over strategic fit, cultural fit, deal certainty and other stakeholders' interests. The company said no decision has been made, and it remains confident its strategy and medium-term outlook can deliver value above what is reflected in WSP's proposal.

Terms & Concepts
  • non-binding proposal: An indicative offer that does not legally commit the bidder to complete a transaction.
  • fiduciary responsibilities: The duties of company boards to act in the interests of shareholders and other stakeholders as required.
  • Capital Markets Day: A company event where management presents strategy, outlook and financial targets to investors.