Ferrovial has announced that it will increase its offer price to A$1.50 cash per Broadspectrum share for all the shares in Broadspectrum.

According to the firm, this revised offer is Ferrovial’s best and final offer for Broadspectrum, and in the absence of a superior proposal Ferrovial will not increase the revised offer price of A$1.50. Ferrovial believes the proposal represents a highly compelling proposition for Broadspectrum’s shareholders providing the certainty of cash and a premium of 11% to the A$1.35 previous offer price.

The revised offer implies an investment of A$769 million (US$581.5 million).

If successful, the acquisition would support Ferrovial Services’ entry into the Australian market by integrating a large services company with a significant platform across various segments. Broadspectrum operates in Australia and other countries like USA, Canada and Chile, and in the energy, mining, telecommunications and infrastructure maintenance markets.

Broadspectrum achieved revenues of A$3,800 million and EBITDA of A$265 million in financial year 2015 (ending in June). The company currently employs more than 25,000 people.

The revised offer is free from all remaining defeating conditions with the exception of the 50.01% minimum acceptance condition. The all-cash offer is not subject to any financing condition. Ferrovial will extend the offer for a further two weeks so it is scheduled to close on 2 May 2016 (unless extended).