Brazilian company Grupo SBF (Centauro) has offered to purchase e-commerce sporting goods retailer Netshoes (Cayman) for $3.50 per share in cash.
Netshoes initially received an offer of $2 per share from Brazilian electronics and appliance retailer Magazine Luiza, in April this year. Centauro countered Magazine Luiza’s offer, last week, with a $2.80 per share offer, which was later countered by a $3 per share offer from Magazine Luiza.
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The latest offer from Centauro values Netshoes at about $109m, according to Reuters.
In a securities filing, Netshoes confirmed the receipt of Centauro’s raised offer and also notified Magazine Luiza about the revised proposal, as well as agreeing to hold a meeting with it in the coming days.
Netshoes said: “In accordance with the terms of the merger agreement and its fiduciary obligations under the laws of the Cayman Islands, and in consultation with its financial and legal advisors, Netshoes’ board of directors will carefully review Centauro’s revised proposal to determine the course of action that it believes is in the best interest of the Netshoes’ shareholders.
“Pending the completion of such review, the Netshoes board has not made any determination as to whether Centauro’s revised proposal constitutes a superior proposal under the terms of the Merger Agreement.
“Accordingly, the board reaffirms its existing recommendation of the transaction with Magazine Luiza without qualification.”
