Pendragon Group

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Pendragon Group is the proposed name for the entity produced via the acquisition of Lookers and Reg Vardy by Pendragon PLC. The initial offer was submitted on December 14, 2005.

[edit] Background (culled from press release)

"On 14 December 2005, at Pendragon's request, a meeting took place between Pendragon and Lookers. Following that meeting, on 21 December 2005, Pendragon made an initial indicative offer (the 'Initial Proposed Offer') to acquire the entire issued share capital of Lookers by way of a share exchange offer. The exchange ratio in the Initial Proposed Offer was one new Pendragon share for each Lookers share. The Initial Proposed Offer was rejected by the Board of Lookers on the basis that it 'very substantially undervalue(d) the Company'.

"On 12 January 2006, Pendragon made a revised indicative offer to Lookers (the 'Revised Proposed Offer'). The exchange ratio in the Revised Proposed Offer was 1.15 new Pendragon shares for each Lookers share. Based on the closing share prices of Lookers and Pendragon on the business day prior to the Revised Proposed Offer being made, the Revised Proposed Offer valued each Lookers share at 600 pence, a 26.9 per cent. premium to the Lookers share price at that time and a premium of 44.3 per cent. to the closing Lookers share price of 415.5 pence on 15 November 2005, the day prior to Reg Vardy's announcement that it had received an approach from Pendragon in relation to a possible offer."