BGH Capital has increased its takeover proposal for Australia’s Webjet Group, lifting its offer to AUD0.91 per share and edging ahead of a rival approach from industry peer Helloworld Travel, according to a report by Reuters.
The revised bid values the online travel platform at roughly AUD357m and underscores growing competitive tension around the asset.
The move comes just days after Helloworld lodged a non-binding offer at AUD0.90 per share, setting the stage for what could become a two-way contest for control of the ASX-listed company. Both bidders have been granted due diligence access.
BGH, which already controls 18.3% of Webjet alongside partners Ariadne Australia and investor Gary Weiss, has secured a confidentiality agreement to proceed with diligence. Its offer remains subject to conditions including a 75% minimum acceptance level, board recommendation and regulatory approvals.
Webjet rejected an earlier AUD0.80 per-share approach from BGH in May, arguing it materially undervalued the business.
Helloworld, which owns 17.3% of Webjet, has pitched its bid as a strategic merger that would create a scaled travel bookings group.
Shares in Webjet rose nearly 3% on the news, reaching their highest level in two months. The company this week reported a 9% decline in first-half underlying earnings, with softer leisure travel demand linked to cost-of-living pressures.
