James Hay parent in talks for €231m takeover by private eq firm

IFG Group, the parent company of SIPP provider James Hay and a number of IFA firms, is in exclusive talks with private equity firm Bregal Capital regarding a €231.2m takeover.

Under the deal, IFG shareholders would receive a cash offer of €1.80 per IFG share cum dividend. This represents a premium of 35% over the average closing price of €1.333 on the Irish Stock Exchange for the three months up to 20 April, the day before the initial proposal was received from Bregal.

In June, IFG, which also owns IFA firms Saunderson House, Siddalls, DK Wild & Co and IFG Financial Services, announced approaches from two parties in relation to possible offers for the company. However, it has now entered into an exclusivity agreement with Bregal.

Bregal's proposal is subject to additional due diligence and conclusion of banking facilities, as well as approval by shareholders of IFG and regulatory authorities.

IFG shareholders will also be provided with a non-cash alternative to re-invest their offer proceeds in the bid vehicle.