Navitas shares are going nuts on a takeover bid

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Shares in Navitas soared after the education services provider came under a takeover offer by a consortium including private equity, a superannuation fund and a former CEO.

A short time ago, they were up 21% to $5.27.

The bid is by a consortium of BGH Capital, AustralianSuper and Rodney Jones, a former CEO of Navitas.

The offer is $5.50 cash to shareholders, a 26% premium to yesterday’s close.

AustralianSuper currently holds 5.4% of Navitas and Rodney Jones 12.6%.

Navitas says it will conduct a detailed review of the offer with its financial adviser Goldman Sachs and legal adviser Ashurst.

The company’s latest full year result was a loss of $55.8 million, dragged down by $123.8 million in one-off charges as Navitas streamlined its business, on revenue of $931 million.