Feb 5 (Reuters) - Insignia Financial ( IOOFF ) said on
Wednesday it had received an A$3.07 billion ($1.92 billion) bid
from Canadian firm Brookfield, matching the latest
offers from Bain Capital and CC Capital Partners for the
Australian wealth manager.
The takeover offer is the latest among efforts by global
firms to tap into Australia's lucrative A$4.1 trillion
superannuation system.
Brookfield has offered to buy Insignia for A$4.60 per share,
the Australian wealth manager said in a statement, representing
a 6.5% premium to the stock's last close on Tuesday.
Shares of Insignia, which have soared more than 21% so far
this year, were up 5.6% at A$4.56 in early trade, but trading
below Brookfield's offer price. The benchmark stock index
was up 0.6%.
The Brookfield offer has triggered a three-way bidding war
for Insignia, with U.S.-based Bain Capital and CC Capital
Partners having already raised their bids to $1.92 billion last
month.
Insignia received an initial takeover approach from private
equity firm Bain Capital in December. The Australian firm
rejected the offer, saying it did not provide fair value to its
shareholders.
CC Capital entered the scene in early January offering a
higher price for Insignia.
Bain, CC Capital and Brookfield did not immediately respond
to Reuters' requests for comment.
Insignia has granted Brookfield limited due diligence to
determine if an improved offer can be formulated, the company
said. It had already granted limited due diligence to Bain and
CC Capital.
Insignia shareholders do not need to take an action
regarding the Brookfield offer, the company said.
($1 = 1.5995 Australian dollars)
(Reporting by John Biju in Bengaluru; Editing by Mohammed Safi
Shamsi and Subhranshu Sahu)