Mantra Group Announces Scheme of Arrangement with AccorHotels

Mantra Group has announced that it has entered into a binding agreement with Accor S.A. (AccorHotels) whereby AccorHotels will acquire all of the shares of Mantra at a price of A$3.961 cash per share (on a fully diluted basis), including a potential special dividend, by way of a scheme of arrangement (Scheme). A Scheme Implementation Agreement (SIA) has been signed to give effect to this Transaction.

Under the terms of the Scheme, Mantra shareholders will be entitled to receive A$3.96 cash per share (Cash Consideration) subject to all applicable conditions being satisfied or waived and the Scheme being implemented. The Cash Consideration represents an implied market capitalisation of A$1,182.2 million and an implied enterprise value of A$1,254.6 million for the year ended 30 June 2017, on a fully diluted basis.

In addition, Mantra will have the discretion to pay shareholders a special dividend of up to a maximum of 23.5 cents per share (Special Dividend) which will be deducted from the A$3.96 headline value. The size of any potential special dividend (if declared) will be determined by the Mantra Board having regard to a range of factors, including the availability of franking credits.


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