Mitchell’s board of directors has recommended its shareholders to accept the offer in the absence of a superior proposal and subject to an independent expert concluding that the scheme is in the best interests of shareholders.
If the transaction is approved, Mitchell shareholders can chose to be paid in cash, Aegis shares, or a combination of both.
Harold Mitchell, founder and executive chairman of Mitchell will take his payment in Aegis shares and will lead the combined Aegis Media Pacific business as chairman.
Mitchell said: ‘Aegis is the best placed of the global agency groups for the convergent future, with a strong focus on digital and media. We are convinced they have enormous growth ahead of them and having Mitchell as part of their global network will be an important part of achieving that.’
Mitchell Communication is Australia’s largest independent comms group and offers its clients services including media planning and buying, strategy, digital media and marketing, public relations and brand experience.