Perpetual falls nearly 16% after rejecting EQT's higher takeover offer
Shares of Perpetual fell nearly 16% to A$16.50 after the asset manager rejected another higher takeover offer from EQT AB for A$22.5 per share. Citi analysts noted the rejection would end Perpetual's engagement with EQT and maintained that the company's earnings outlook remains under pressure due to client outflows.
50, their biggest intraday percentage decline since November 2022, after the asset manager rejected another higher takeover offer from EQT AB. 8% premium to the stock's last close. 07 in mid-July. Citi analysts said the rejection would mean Perpetual's engagement with EQT ends.
The brokerage also said Perpetual's earnings outlook remains under pressure because of continued client outflows from its asset management business, particularly higher-margin equity funds. Citi added that some investors may still be hoping for a rival takeover bid, which could help support the stock. 53. 6% year to date, including moves in the current session.