Trust Co spurns fresh Equity bid

Target says Perpetual offer is still a superior proposal for shareholders.

The Trust Company (TRU) has spurned a sweetened takeover bid from Equity Trustees (EQT), saying a rival offer from Perpetual (PPT) is still a superior proposal.

In a statement to the Australian Securities Exchange, Trust Co said even though Equity Trustees increased its offer from 37 to 39 shares for every 100 shares in Trust Co and declared the offer free from all conditions, its independent expert still preferred the Perpetual offer.

The target said based on closing share prices from November 13, the revised Equity Trustees offer was worth $7.69 per share, while the Perpetual offer was worth $8.37 per share.

The revised Equity Trustees offer is only a 2% increase in value to shareholders, Trust Co said.