Punj Lloyd makes $20m bid for Macmahon Holdings
Sydney: Punj Lloyd subsidiary Sembawang Australia has stepped up its efforts to buy the construction business operated by MacMahon Holdings.
Sembawang has offered five million dollars more than the current takeover agreement to buy MacMahon Holdings’ construction industry.
MacMahon is looking to become a full service mining contractor, and has agreed to a 20 million dollars deal to sell its construction business to major shareholder Leighton Holdings.
But Sembawang Australia, which is a wholly-owned subsidiary of engineering and construction group Punj Lloyd, has since filed a rival offer for the construction business, news.com.au reports.
MacMahon said that Sembawang had increased its offer to buyout the construction business for 38 million dollars, up from the 25 million dollars it offered on January 2.
Alternatively, Sembawang has offered to replicate the terms of MacMahon’s agreement with Leighton, but beat the offer price by five million dollars, the report added.
According to the report, MacMahon said its board would consider the new proposal.