CSG walks from acquisition deal

Takeover target CSG has walked away from any further acquisition offers after it became clear that the courting process would not pay off for its shareholders.

After months of speculation, including an offer worth $340 million from an unnamed buyer, the Darwin-based print and technology company, decided to call time on the increasingly expensive acquisition process when it became clear that the sale share price it wanted would not result in a substantial offer.

In an announcement released this week, CSG’s company secretary, Kim Clark (pictured), said that the increasingly lengthy acquisition process was becoming a financial burden to the business, and was not in the best interests of its shareholders.

“The initial unsolicited proposal to acquire all the shares of CSG led to initiation of a process of engaging with all interested parties in the CSG businesses,” said Clark. “This process has been costly, and despite best efforts, disruptive to both management and staff and created uncertainty with CSG’s customers.

“The board has concluded that the current process will not result in a transaction which is in the best interests of CSG shareholders.”

The company claims that the decision to abandon the acquisition process will allow it to fully focus on continuing the expansion of its services in Australia and New Zealand.

In November, CSG, announced it would introduce is production printing sales and service business into the Australian market next year – a move that will see the business expanding its role in commercial printing on both sides of the Tasman.