Perpetual rejects another EQT AB bid

Perpetual has rejected another takeover offer from EQT AB, saying it does not adequately represent the fair value of the company.

Swedish private equity giant EQT AB's latest offer of $22.07 was shot down after Perpetual "carefully considered the terms of the revised indicative proposal and obtained advice from its financial and legal advisers in relation to it".

The Perpetual board ultimately found it was "not in the best interests" of its shareholders.

Perpetual added the offer came from Windflower, which it believes to be an entity that is indirectly controlled by EQT AB.

Perpetual rejected the $21.64 cash-per-share offer in early July. EQT upped this to $22.07, an increase of 2% on the previous offer, but last week was turned down. That offer valued Perpetual at $2.55 billion.

EQT AB has some US$333 billion in assets under management and has a significant presence in Australia.

Last year, EQT's BPEA Mid-Market Growth Partnership fund took a major stake in property technology firm PropertyMe. This transaction marks EQT Private Capital Asia's third platform software investment in Australia and the second Australian investment under the fund.

Perpetual operates a multi-boutique asset management business, and wealth management and trustee services businesses.

Bain Capital is on track to acquire Perpetual's wealth management business for $550 million, in a deal expected to finalise before the end of the year.

Should the transaction eventuate, former Perpetual chief executive Geoff Lloyd will become executive chair of the entity under the ownership of Bain Capital.

Perpetual license its Perpetual Wealth and Perpetual Private brands to the Perpetual Wealth Management Group for a period of 15 years. Perpetual will continue to own all rights to the Perpetual brand.

Deputy head of equities Anthony Aboud recently announced his resignation after spending more than 14 years at the ASX-listed group. He is also the portfolio manager of the Perpetual Industrial Share Fund, Perpetual SHARE-PLUS Long-Short Fund and Perpetual Pure Equity Alpha Fund.

Nathan Hughes will take over as portfolio manager of the Industrial Share Fund.