Lynch Group Acquisition Approved: $2.155 Cash Per Share Deal Secures 93% Vote
Lynch Group Holdings shareholders have overwhelmingly approved a $269 million acquisition scheme by Hasfarm, offering a 23% premium on recent share prices. The deal awaits final court approval before completion in December 2025.
- Shareholders approve Hasfarm's $2.155 per share cash acquisition offer
- Deal values Lynch at $269 million equity and $293 million enterprise value
- Represents a 23% premium to Lynch’s last closing share price before announcement
- Independent Expert deems the scheme fair and reasonable
- Completion contingent on court approval and other conditions
Shareholder Approval Secured
On 21 November 2025, Lynch Group Holdings Limited (ASX, LGL) convened a pivotal Scheme Meeting where shareholders voted decisively in favor of a proposed acquisition by Hasfarm Holdings Limited and Hasfarm Bidco. The scheme offers Lynch shareholders a cash consideration of $2.155 per share, following a permitted dividend payment, culminating in an implied equity valuation of approximately $269 million.
The approval marks a significant milestone in the acquisition process, reflecting strong shareholder confidence in the premium offer, which stands at over 23% above Lynch’s closing share price prior to the deal announcement in August 2025.
Deal Terms and Expert Endorsement
The acquisition, structured as a Scheme of Arrangement, is backed by unanimous recommendation from Lynch’s Board of Directors and an Independent Expert report prepared by KPMG Financial Advisory Services. The expert concluded the scheme to be fair and reasonable in the absence of any superior proposal, providing shareholders with certainty of value and immediate liquidity.
Hasfarm’s offer represents a premium not only to the last traded price but also to the volume-weighted average prices over three and six months, underscoring the attractiveness of the deal in a competitive market environment.
Next Steps and Conditions
While shareholder approval is a critical hurdle cleared, the scheme remains subject to final court approval scheduled for 27 November 2025, alongside other customary conditions such as the absence of material adverse events. Should these conditions be satisfied, the scheme is expected to become effective by late November, with the transfer of shares and payment to shareholders anticipated by early December.
In the event the scheme does not proceed, Lynch will continue as an independent ASX-listed entity, though the share price may face downward pressure given the withdrawal of the premium offer.
Implications for Lynch and Shareholders
The acquisition will result in Lynch’s delisting from the ASX and integration into Hasfarm’s operations. Shareholders opting to accept the scheme will realise immediate cash returns, while those preferring to retain exposure to Lynch’s business risks and future growth prospects may choose not to participate, though this option carries its own uncertainties.
The directors’ financial interests in the transaction, disclosed transparently in the scheme documentation, align with shareholder value maximization, reinforcing the board’s unanimous support for the deal.
Bottom Line?
With shareholder approval secured, all eyes now turn to the Federal Court’s final decision and the potential for any last-minute competing bids.
Questions in the middle?
- Will the Federal Court approve the scheme without modifications?
- Could a superior proposal emerge before the scheme’s implementation?
- How will Hasfarm integrate Lynch’s operations post-acquisition?
