Intega Group’s (ASX:ITG) near two-year stint on the ASX is set to cultimate in a takeover from Dutch engineering certification company Kiwa.

The engineering services firm received an offer at $421 million (equating to 90 cents a share) and unanimously recommended shareholders back the offer.

It first listed in late 2019 as a spin-off from industrial entity Cardno (ASX:CDD).

The deal came following a strategic review undertaken by the company in recent months.

A “strategic review” is a typical step taken by companies which believe they are undervalued and can conclude with takeover, offers although other eventualities – such as asset spin-offs, board overhauls or bringing onboard new substantial shareholders – are possible.


‘Compelling’ deal

Intega’s board backed the deal on the basis of the attractive premium, the certainty of value as well as the limited conditions attached to the deal – although one of them will be approval of the Foreign Investment Review Board.

The company’s majority shareholder, Crescent Capital Partners, has backed the bid too.

“The scheme provides an opportunity for Intega shareholders to realise their investment in Intega for cash at an attractive premium to where Intega has traded since its demerger from Cardno in 2019,” said chairman Neville Buch.

“The board has concluded that the scheme is compelling for our shareholders.”

An indicative timetable released by the company expects the deal to close in the middle of December.

Intega’s first few six months listed were disappointing but its share price gradually improved in 2021. Thanks to today’s share price rise, the company is now up 62% from when it first listed.

Intega (ASX:ITG) share price chart