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One potential bidder has withdrawn from the offer process for Abano, but directors said other parties remained interested and they continued to reject the partial offer from Masthead Portfolios.
The unnamed party was interested mainly in Abano's New Zealand audiology business, and its suggested offer price was at the bottom end of the independent valuation range.
After putting forward an incomplete and conditional offer, the party had suggested an alternative plan to buy Abano's audiology business, Abano chairwoman Alison Paterson said. The board was taking advice on that plan, along with all other options.
Abano has not named the parties looking at its books, but Australian private equity company Crescent Capital Partners and Australasian medical device distributor Lifehealthcare had reportedly been interested.
At least one party continued to do due diligence, the company said.
"The board's view on, and recommendation to reject, the Masthead offer is made irrespective of the existence or outcome of other parties' interest," Paterson said.
The board believed the company's growth strategies would produce higher value in future, and that Masthead's partial offer at $5 a share only paid a premium for control for some of the company's shares.
Shares in Abano, which has audiology, radiology and dental clinic subsidiaries, closed down 5c yesterday at $4.85.
- NZPA
