<p>Toll Holdings is paying at the upper end of the expert valuation of Patrick Corp shares, in a deal which will now be worth $6.2bn – larger than Toll’s current market capitalisation of $4.8bn.</p> <p>The new independent valuation by Lonergan Edwards released by Patrick with its supplementary bidder statement on Friday (April 21), put Patrick’s shares in a range of $8.16 to $8.73.</p> <p>Toll’s last offer on Thursday, April 13, valued Patrick shares at $8.40 to $8.80, based on a Toll share range estimated by Lonergan Edwards of $13.50 to $14.50.</p> <p>Patrick’s statement said that a week later, on April 20, the offer was worth $8.77 per Patrick share, with Toll’s share price at $14.43.</p> <p>Patrick’s share price before Toll’s offer last August, when it was being depressed by Virgin Blue’s prospects, was $5.57.</p> <p>Patrick was trading this morning (Monday, April 24) at $8.71 and Toll at $14.47. </p> <p>The valuation included a likely above-forecast performance by Patrick’s ports business, and the prices paid for P&O Ports, PD Ports and the recent offers made for Associated British Ports.</p> <p>Lonergan Edwards valued Patrick’s ports business at $3.66bn to $3.87bn.</p> <p>Patrick’s statement also revealed the strategies which Patrick had on the stocks before the board accepted Toll’s offer, still there for use in the highly unlikely event of Toll not getting control.</p> <p>This included using its new supply chain software developed by Patrick Solutions, some Asian presence, the commercial splitting of Pacific National, the operation of FCL as a separate entity, and "promising" acquisition opportunities which Patrick could deliver in the short to medium term.</p> <br />
