JCDecaux announces bid for Australia’s APN Outdoor
French advertising giant JCDecaux on Wednesday announced a non-binding proposal to acquire Australia’s APN Outdoor, a leader in the billboard publicity market, for 700 million euros ($809 million).
Investors embraced the move, pushing JCDecaux’s share price up 6.8 percent in early trading on the Paris CAC stock market.
“JCDecaux SA… the number one outdoor advertising company worldwide, announces that it has submitted an indicative and non-binding proposal to acquire 100 percent of APN Outdoor Group Limited share capital based on its current business assets,” the French company said in a statement.
JCDecaux, which offers advertising space on billboards, bus stops and trains around the world, entered the Australian market before the Sydney Olympic Games in 2000, it said.
Through a subsidiary, it also operates bicycle rental services in cities around the world.
JCDecaux has offered Aus$6.52 ($4.82, 4.17 euros) per share in cash for APN Outdoor, a 30 percent premium on the Australian group’s average price for the past six months.
“APN Outdoor would be complementary to JCDecaux’s existing out-of-home media assets in Australia, which are primarily in the street furniture segment,” the French group said.
“At this early stage, no agreement has been reached between the parties, and there is no certainty that the proposal will result in any transaction,” it added.
APN Outdoor in 2017 posted an annual turnover of Aus$342.9 million, a four percent rise on 2016.
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