Nigel has been in the regulated financial services industry for nearly a decade, has previously owned a financial brokerage and has written many times for sites relating to personal finance and trading.
Shares of A.S. Roma (MIL: ASR), Italy’s Serie A football club, collapsed more than 55% after the U.S. billionaire Dan Friedkin submitted an offer to minority investors' that is five times lower than the market price.
Dan Friedkin, the U.S. billionaire and CEO of the Friedkin Group, will pay nearly 600 million euros to buy an 86.6% stake in A.S. Roma from a consortium led by the U.S. businessman James Pallotta. Nearly 70% of these funds will go to cover the debts of the football club.
Remaining 13.2% of shares are owned by minority investors. In a letter to the Italian regulator, Friedkin extended the offer at 0.1165 euros per share to buy Roma's minority investors' holdings.
According to him, this is the price that he is paying to Pallotta and his group for the majority stake. Friedkin is expected to finalize the paperwork this weekend to complete the deal.
“At the request of CONSOB, The Friedkin Group Inc. (“TFG”) confirms that, as already indicated in the press release of 7th August last week, the agreed upon acquisition of 86.6% of AS Roma SpA (the “Company”) is equal to a total of 63,414,047 Euro corresponding to a unit price of 0.1165 Euro per share,” Friedkin Group said in a statement.
The letter prompted Roma share price to collapse more than 50% travelling from 0.5940 to 0.2770 in just two days.
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