Laval, Quebec Alimentation Couche-Tard on Wednesday increased the value of its hostile bid to buy Casey’s General Stores to $38.50 per share, increasing the likelihood of an acquisition, according to some analysts. For its part, Casey’s urged its shareholders to take no action.
Couche-Tard had previously bid $36.75 per share, which prompted a limited response from shareholders. It also caused Casey’s to launch a Dutch auction tender offer and a recapitalization plan to thwart the takeover attempt.
“We believe that our revised offer is the most attractive strategic alternative available to the Casey's shareholders, and delivers immediate cash value superior to what Casey's can deliver continuing as a standalone company,” said Alan Bouchard, president and CEO, Couche-Tard in a statement. “We remain ready, willing and able to complete a transaction with Casey's expeditiously and urge the Casey's board of directors to begin discussions with Couche-Tard immediately to maximize value for the Casey's shareholders and make this combination a reality.”