Diverger calls off Centrepoint bid

Publicly-listed financial planning group, Diverger, has effectively withdrawn its takeover bid for Centrepoint Alliance.

Diverger announced to the Australian Securities Exchange (ASX) today that it was doing so because the board of Centrepoint Alliance had not entered into meaningful engagement including access to due diligence.

Diverger said that since submitting its Indicative Non-Binding Proposal on Centrepoint it had initiated a number of discussions with Centrepoint directors and had also made additional written submissions and presentation to Centrepoint to explain the assumptions on which had based its bid.

“Diverger understands from these discussions that some of the assumptions upon which it based its indicative proposal may be unlikely to be achieved,” it told the ASX. “Diverger has highlighted to Centrepoint Alliance that while this may not necessarily have prevented a transaction from proceeding on the terms outlined in the indicative proposal, it did reinforce the necessity for Diverger to have access to due diligence which to date has not been granted.

“Without meaningful engagement by the Centrepoint Board, Diverger is not able to progress the indicative proposal”