Russian grocery chain Magnit has made a $1.78 billion(€1.6 billion) bid approach to smaller competitor Lenta, topping a rival offer from Russian steel magnate Alexey Mordashov.
Lenta said on Friday it had received an indicative, non-binding proposal from Magnit to buy 100% of the company for $3.65 per global depository receipt (GDR). On Tuesday, Lenta said Mordashov had agreed to buy a 42% stake, to be followed by a cash offer for all the group’s outstanding shares, for $3.60 per GDR.
Magnit confirmed it was interested in buying Lenta and that it had made a proposal to buy 100% of its shares. Mordashov’s Severgroup company declined to comment. Lenta’s London-listed GDRs were up 1.4% at $3.59 in early trading.
