Locality Planning Energy (ASX: $LPE) takeover bid update

Locality Planning Energy Holdings Limited (ASX: $LPE) has announced that the takeover bid by River Capital Pty Ltd as trustee for River Capital Embedded Network Trust for all of the ordinary shares in LPE will close at 7.00pm (AEST) on Friday, 26 July 2024 and will not be extended. The offer price of $0.105 per LPE share represents a 209% premium to the undisturbed trading price of LPE shares. The offer is unconditional, and shareholders who accept the offer will be paid within 4 days of acceptance.

Executive commentary on takeover bid and shareholder options

The Second Supplementary Bidder's Statement and Notice issued by River Capital Pty Ltd highlights the unconditional nature of the offer and the accelerated payment terms. Shareholders are urged to carefully consider the risks of not accepting the offer, including potential reduction in share price, limited liquidity in LPE shares, and concerns about poor corporate governance. The statement also emphasizes the concerns raised by the Takeovers Panel regarding the trading activities of two of the three LPE directors.

Summary of LPE takeover bid and outlook

Locality Planning Energy Holdings Limited (ASX: $LPE) has provided an update on the takeover bid by River Capital Pty Ltd, stating that the offer will close on 26 July 2024 and will not be extended. The offer price of $0.105 per share represents a 209% premium to the undisturbed trading price of LPE shares. Shareholders are advised to carefully consider the risks of not accepting the offer, including potential reduction in share price and limited liquidity in LPE shares. The company's concerns about poor corporate governance and the Takeovers Panel's involvement add complexity to the decision-making process for shareholders. The outlook suggests that shareholders need to weigh the benefits of the unconditional offer and accelerated payment terms against the risks associated with not accepting the offer.