(Reuters) - Canada’s Inter Pipeline Ltd said on Thursday that an unsolicited offer of up to C$18.25 ($14.41) per share from Brookfield Infrastructure Partners did not reflect the true value of the company.
Brookfield, a company that acquires and manages infrastructure assets, offered C$16.50 per share on Wednesday, a 23% premium to the stock’s prior closing price, and said it was willing to raise it to as much as C$18.25 if the pipeline operator gave it access to due diligence.
At the top price, the offer would value Inter’s equity at C$7.8 billion. Inter said that was not sufficient for the company to enter into exclusive talks with the infrastructure firm.
The pipeline operator said Brookfield has not made a formal offer yet and if it does, the company’s board will review with advisors and recommend shareholders about accepting or rejecting it.
($1 = 1.2669 Canadian dollars)
Reporting by Shariq Khan in Bengaluru; Editing by Arun Koyyur
Source: Reuters