Shares in Italy’s SNAI were trading up Thursday after the company’s board said that it has rejected an offer from private equity firms AXA Investment Managers and Bridgepoint.
SNAI received the offer for its Italian gaming business from the private equity firms on November 27th, sending its shares up more than 7% on unconfirmed reports which valued the bid at €600 million.
The company, which is struggling with debt, said at the time that the offer was “worthy of further examination”.
However in a stock market statement Thursday, SNAI said that the board of parent SNAI Servizi Srl “has examined the offer from Bridgepoint and AXA and decided that the offer is not in its interest.”
SNAI, which provides gaming and betting in the Italian market, incurred a loss of €29.5 million in 2008 from revenues of €540.5 million. In the nine months to September 30th 2009, the company incurred a further pre-tax loss of €10.6 million.
The company’s board declined to comment further, stating only that it would meet Friday to decide next steps.
Shares in SNAI will commence trading today in Milan at €2.97 per share.