I don't get this. They're employing a "just say no" defence against a buyer offering a 40% premium to the undisturbed price. They have a dominant share of the UK market and a 74% EBITDA margin. What do they think is going to happen to the standalone business that would come close to this valuation?I don't get this. They're employing a "just say no" defence against a buyer offering a 40% premium to the undisturbed price. They have a dominant share of the UK market and a 74% EBITDA margin. What do they think is going to happen to the standalone business that would come close to this valuation?

It's not really a premium if the consideration is stock rather than cash. In this case, more than half of the consideration is stock in what would be the combined entity.

my best guess is that they're trying to smoke out a third party as a counterbidder vs. REA, or at the very least, get a better structured deal with a higher cash weighting than currently offered

Monetise those “come look at this house!!” viral posts with a new Through The Keyhole streaming TV series?