Science Group escalates tactics in TP Group takeover battle
Science Group, which has seen multiple offers to purchase TP Group rejected, has ordered a General Meeting in a bid to replace the company’s directors.
Spurned suitor Science Group has bought up 24.1 per cent of TP Group’s issued voting capital and has called a shareholder meeting to replace two of the company’s non-executive directors with members of its own board.
Last week, the company withdrew an offer to purchase TP at the generous price of 6.5 pence per share claiming that the company refused to constructively engage in negotiations.
TP Group has issued a circular urging its shareholders to vote against all resolutions proposed by Science Group and claiming the would-be-owners never had sufficient cash resources to follow through on the offer.
Andrew McCree, Non-Executive Chairman of TP Group, said: “we were not at all surprised to see the withdrawal of its ‘possible offer’ last week.”
McCree called the requisitioned meeting “a disingenuous attempt to gain control of TP Group” and claimed Science Group had used similar tactics during its 2019 acquisition of Frontier.
“In both cases,” he claimed the company “acquired a significant stake, alongside making announcements seeking to paint a negative picture of their target.”
According to TP, after Science Group successfully replaced Frontier directors with members of its board they devalued the company by casting doubt on its financial position and finally snapped it up for a discounted price.
McCree, who is up for replacement at the upcoming General Meeting in October, said: “we must not let the same happen to TP Group’s shareholders.”
Read more: Science Group turns up heat in bid to takeover TP Group