Shares in DuluxGroup and its takeover target Alesco have been placed in a trading halt as the pair continue talks over the paintmaker’s $210 million offer.
Alesco and DuluxGroup on Monday both requested trading halts, saying they expected to make an announcement within days.
“Alesco advises the reason for the trading halt is to allow Alesco to continue its discussions with DuluxGroup in relation to its conditional off-market takeover bid for all of the ordinary shares in Alesco,” Alesco said in a statement.
Alesco’s board previously has said it was opposed to paintmaker Dulux’s offer, which includes 2.05 cents a share in cash plus up to 18 cents in franking credits.
However, Dulux has managed to convince some of Alesco’s largest shareholders to take up its offer and now controls about 41 per cent of Alesco’s shares.
Alesco’s shares last traded at $1.915 while Dulux was at $3.33.