23 May 2012

Metlifecare says pared bid the best it can do

7:19 am on 23 May 2012

Metlifecare says its revised offer for two of its rivals is the best it can do and there's no room to drop the price further.

Bids by the listed retirement village operator were scaled back on Monday, after pressure from shareholders.

As well as cutting the amount of Metlifecare shares it'll offer as payment for Vision Senior Living and Private Life Care, the big company has s also extended the time those shares will be held in account.

Metlifecare's managing director, Alan Edwards, says the revised offer is the best the company can do, and he hopes shareholders will agree.

As part of the revised deal, Metlifecare will raise $10 million capital from third party investors, rather than Vision shareholders, and use the proceeds to pay back debt.

Mr Edwards says some institutional investors had expressed concern about the company's debt levels, but he hopes those fears will now be allayed.

An appraisal report on the revised offer is expected to be sent to shareholders shortly.

Shares in Metlifecare were unchanged at $2.05 at the close of share trading on Monday.