Corelogic rejects US$7b takeover bid from investment firms

[BENGALURU] Corelogic said on Tuesday that its board had unanimously rejected a US$7 billion takeover bid from investment firms Cannae Holdings and Senator Investment Group.

The real estate data analytics firm said the unsolicited proposal "significantly undervalues" the company, raises serious regulatory concerns and was not in the best interests of its shareholders.

The company also said it adopted a short-term shareholder rights plan, the implementation of which would prevent investors from acquiring 10 per cent or more of the company's common stock, or 20 per cent in the case of certain passive investors.

The investment firms, which jointly hold an economic interest of roughly 15 per cent in Corelogic, offered to acquire the company for US$65 per share in late June.

Shares of the company were up about 2 per cent at US$68.49 in premarket trading.

Cannae Holdings and Senator Investment Group said last week they own enough shares in the company to call a special meeting and that Bank of America was sure it could arrange financing for the deal.

Separately, Corelogic also raised its full-year revenue forecast to between US$1.84 billion and US$1.88 billion from between US$1.69 billion and US$1.73 billion. Analysts on average were expecting revenue of US$1.73 billion, according to IBES data from Refinitiv. 

REUTERS