Mantra’s share price sizzles on takeover offer
Mantra Group has over 20,000 rooms under management in 125 properties across Australia, New Zealand and Indonesia, with its brands Mantra, Peppers, BreakFree well-known to locals. In August, it purchased the seven-hotel portfolio of the Art Series Hotel Group for $52.5m and acquired a hotel in Hawaii in May.
Mantra’s share price rocketed on the news this morning, jumping nearly 20 per cent to $3.80 [at current prices]. The bid values Mantra at around the $4 mark.
“Mantra has granted Accor access to due diligence to determine if a transaction can be agreed and recommended unanimously by the Mantra Board,” Mantra Group said in a statement to the ASX.
The takeover rumour mill has been grinding for the last month or so, with initial investors in the company when it floated set to see a nice profit, around double what they paid.