Seven Group Holdings speak about ‘successful’ Boral takeover

Boral is an Australian construction materials provider. Image: Boral

Seven Group Holdings has effectively acquired a 100 per cent interest in Boral after announcing it will compulsorily acquire the outstanding shares in the construction materials provider this week.

It comes after Seven’s latest offer in April, following back-and-forth between the two companies, was supported by Boral’s independent directors and deemed “reasonable” by the independent assessor. That deal was improved from the initial deal launched earlier this year in February, which Boral’s independent directors rejected.  

As of April 12, Seven had around 78 per cent of Boral but that has since grown to the extent Seven will have 100 per cent interest in the company as of this week once it acquires the outstanding shares via compulsory acquisition. Seven will seek to have Boral delisted from the ASX. 

Seven Group Holdings managing director and chief executive officer Ryan Stokes welcomed the acquisition.  

“Today marks the successful conclusion of SGH’s journey to 100 per cent ownership of Boral. Our initial investment in Boral in March 2020 was based on our strong conviction in the opportunity that a disciplined operating model could deliver, and our commitment to supporting Boral’s people realise this potential,” he said. 

“Boral has been fully consolidated since SGH took control in July 2021, and SGH acquiring 100 per cent will not impact its day-to-day operations.

“As a wholly owned entity, Boral now sits alongside WesTrac and Coates in SGH, forming what we believe to be the strongest group of industrial services businesses in Australia.

“I want to acknowledge the great work of the Boral Team in making swift progress on the ‘Good to Great’ journey. We know there is more work to do and look forward to supporting Boral’s performance journey as part of SGH.” 

Vik Bansal formalised as Boral’s CEO and managing director

Seven has confirmed that Vik Bansal will continue as managing director and chief executive of Boral, where he spearheaded the company’s ‘Good to Great’ project.  

MORE READING: 

Seven Group’s latest Boral offer backed  
Seven Group ‘disappointed’ in bid assessment  
 Boral respond to Seven Group’s takeover bid

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