London-listed digital media firm Perform Group has asked investors not to respond to minority shareholder Access Industries' buyout offer.
The move came after billionaire Len Blavatnik's investment group, Access Industries, declared its intention to buy out the Perform shares that it does not already own, at 260p a share, an announcement that boosted Perform's stock by 25% to 257p in early trade on 1 September.
Perform said in a statement that it: "...notes the announcement by Access Industries (UK) Ltd this morning of a final cash offer for the whole of the issued share capital of Perform Group not currently owned by them at a price of 260p per share.
"The Board reiterates its confidence in Perform Group's standalone strategy and growth prospects as detailed in [29 August's] interim results statement. The board remains focused on delivering significant value for all shareholders.
"The board urges shareholders to take no action at this time. A further announcement will be made in due course."
Access Industries' offer values the sports rights firm at £701.6m ($1.2bn, €887m).
It said the offer, being made by AI PG, which is a part of the Access Industries Group, was final.
Access said in a statement that its offer represents a near 27.6% premium over the closing price of Perform's stock on 29 August.
The bid also represents a near 21.7% premium over the average closing price of Perform's stock over the last month prior to the date of the announcement.
PVT, part of the Access Industries Group, already owns 42.5% of Perform.
Perform owns the digital rights to over 200 sports leagues, tournaments and events. The firm acquires online rights to major sports events and supplies video clips, sports news and data to media groups and online bookmakers.
Privately held Access Industries' investments span natural resources, chemicals, property and media, including Warner Music Group.