(Bloomberg) — Australian wealth manager AMP Ltd. said a preliminary takeover approach from U.S. private equity firm Ares Management Corp. values the company at A$6.4 billion ($4.5 billion.)
The proposal has an implied value of A$1.85 per AMP share, the Sydney-based company said in a statement Monday. The shares rose as much as 9% in early Sydney trading to A$1.66, adding to a 20% surge Friday when the talks were first disclosed.
AMP Gets Takeover Approach From Ares Management; Shares Jump
The 171-year-old firm effectively put itself up for sale after a sexual harassment scandal led to a boardroom shakeout, capping a torrid two years that saw the stock lose three-quarters of its value. For Los Angeles-based Ares, buying AMP, which manages about A$320 billion across pension savings, infrastructure and real estate, would be a quick way to scale up in Australian funds management, where it began offering