Assura: FTSE 250 firm rejects £1.5bn takeover approach
FTSE 250 healthcare real estate investment trust Assura has rejected a takeover offer worth more than £1.5m – the fourth such deal it has turned down in the last six months it has been revealed.
The Altrincham-headquartered business hit the headlines at the end of last week when it emerged it had been approached by private equity giant KKR and a major universities pension scheme.
However, it has now been confirmed that the latest proposal, with £1.562bn, has been rejected by Assura’s board.
In a statement, KKR said the most recent takeover approach came after three other written proposals have also been rejected by the company in the last six months.
The parties now have until 5pm on 14 March to either declare that they are going to make an offer or not.
‘A highly attractive opportunity for Assura shareholders’
A KKR statement said: “KKR believes that the terms of the latest proposal offer a highly attractive opportunity for Assura shareholders to realise their investment in cash at a significant premium to prevailing market prices.
“KKR acknowledges the rule 2.8 announcement dated 17 February, 2025, from USS Investment Management Limited (as agent for and on behalf of Universities Superannuation Scheme Limited (acting in its capacity as sole corporate trustee of the Universities Superannuation Scheme)) following the rejection from the board of the latest proposal.
“KKR is considering whether there is any merit in continuing to try and engage with the board.
“There can be no certainty that any firm offer for the company will be made. A further announcement will be made as and when appropriate.”
Shares in Assura jumped by more than four per cent in the aftermath of the offer being revealed before the end of Friday’s trading.
The rise, to 39p per share, means Assura ended the day with a market capitalisation of more than £1.2bn.
Despite the spike, Assura’s shares have been declining steadily since a high of almost 49p in January 2024. Before the pandemic struck, its shares were trading at more than 80p.
In May last year, Assura and USS agreed to invest £250m in a 20:80 joint venture to support investment in essential NHS infrastructure.
In a statement issued to the London Stock Exchange issued on Friday, Assura said: “The board is currently reviewing the proposal with its advisers.
“A further announcement will be made as appropriate. There can be no certainty that any offer will be made, nor as to the terms of any such offer. Shareholders are advised to take no action.
“The board remains confident in the long-term prospects of the company and believes that Assura is strongly positioned to create value for shareholders.”
In a trading update published towards the start of January, Assura’s CEO Jonathan Murphy, said: “We have maintained momentum in the third quarter continuing to deliver against our strategic objectives.”
In its half-year results, Assura reported a pre-tax profit of £77.1m for the six months to September 2024, up from a loss of £17.8m in the same period in 2023.
For its latest full financial year, the 12 months to March 2024, Assura posted a pre-tax loss of £28.7m, having also lost £119.2m in the prior year.