EQT sweetens Perpetual bid to A$2.55 billion in third offer this month

EQT AB raised its takeover offer for Australian wealth manager Perpetual Ltd. to A$2.55 billion ($1.78 billion), marking the Swedish private equity firm's third bid in as many weeks as it intensifies its pursuit of the Sydney-based financial services provider.

Perpetual said in a statement Monday its board is weighing the A$22.50-per-share proposal and has yet to take a stance. The revised offer represents a roughly 4% increase from EQT's initial A$21.64-a-share approach on July 1 and a 2% bump from the A$22.07 proposal disclosed in mid-July.

The latest bid carries a nearly 19% premium to Perpetual's last closing price before the first offer was made public. EQT has progressively sweetened its terms each time, reflecting strong conviction in the deal despite the target's board remaining non-committal.

The proposal is subject to several conditions, including Perpetual completing the previously announced sale of its wealth management unit to Bain Capital. That carve-out adds a layer of complexity to what has become an increasingly expensive acquisition campaign for the Stockholm-based buyout firm.

Perpetual, which traces its roots back to 1886, manages assets across wealth management, corporate trust, and investment advisory services. A successful takeover would give EQT a significant foothold in Australia's A$4 trillion funds management industry, where foreign private capital has been steadily increasing its presence.

Perpetual's shares are expected to trade near the offer price as investors weigh the likelihood of a finalized deal or the emergence of a competing bidder. No timeline for the board's decision has been disclosed.

This article is for informational purposes only and does not constitute investment advice.