Overview of APM Scheme Update and Preliminary Unaudited Financial Results

APM Human Services International Limited (ASX: $APM) has provided an update on the proposed Scheme of Arrangement with Ancora BidCo Pty Ltd, controlled by Madison Dearborn Partners, LLC. The scheme involves the acquisition of all issued share capital of APM for $1.45 per share. APM has submitted its draft Scheme Booklet for review by ASX and ASIC, with the Scheme meeting expected to be held in September 2024. The APM Independent Board Committee unanimously recommends that APM shareholders vote in favor of the Scheme, subject to certain conditions.

Executive Commentary on APM Scheme Update and Financial Results

The APM Independent Board Committee unanimously recommends that APM shareholders vote in favor of the Scheme, provided no superior proposal arises. The Executive Chair, Megan Wynne, and Group CEO, Michael Anghie, also recommend the Scheme, subject to the same conditions. The Scheme remains subject to certain conditions, and further details will be provided in the Scheme booklet dispatched to APM shareholders in August 2024.

Summary of APM Scheme Update and Preliminary Unaudited Financial Results

APM (ASX: $APM) has submitted the draft Scheme Booklet for review, outlining the proposed acquisition by Ancora BidCo Pty Ltd. The company's preliminary unaudited financial results for the 12 months to 30 June 2024 indicate estimated revenue, underlying EBITDA, and underlying NPATA of $2,332 million, $281 million, and $95 million respectively. The net debt at 30 June 2024 is approximately $800.0 million. The carrying value of intangibles is being reviewed as part of the year-end audit process, with a preliminary unaudited impairment range of $250 million to $350 million. APM notes that any impairment expense will not impact the proposed recommended Scheme. The company's Scheme meeting is expected to be held in September 2024, and further details will be provided in the Scheme booklet dispatched to APM shareholders in August 2024.