Pendal deal spread blows out amid M&A anxiety

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Pendal’s share price is lagging Perpetual’s tabled offer by more than 12 per cent.

that said it was “increasingly difficult for Perpetual’s board to justify its current position with a deal the market isn’t supporting”, citing Perpetual’s weak share price since the initial April advance.

Meanwhile, Perpetual’s pending annual general meeting is further complicating the merger arbitrage trade as institutional investors have either recalled or not made their shares available to hedge funds to cast their proxy votes. Appen was also subject to takeover interest that was withdrawn. Other plays for Tyro, Nitro and Infomedia have been bubbling away, without much to show to investors at this stage.

 

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