CoreLogic rejects due diligence request from Senator and Cannae
CoreLogic refused a request from Senator Investment Group and Cannae Holdings to allow them to perform due diligence on the company, once again saying the $65 per share bid is inadequate.
"The CoreLogic board will not provide nonpublic information to Senator and Cannae unless they first raise their offer to a level that provides appropriate value to our shareholders — reflecting our strong multiyear outlook recently disclosed to all shareholders," the company said in a press release. "Granting diligence for an offer that significantly undervalues CoreLogic is not in the best interests of other shareholders."
CoreLogic then batted the ball back into Cannae's court. Cannae is controlled by Bill Foley, who is also the chairman of title insurer Fidelity National Financial and executive chairman of technology and data provider Black Knight.
"We are confident Cannae's multiple, existing positions in large real estate data, technology and services companies enable it and Senator to evaluate our detailed publicly available information to update and refine their views of CoreLogic's value if they so choose," the statement said.
CoreLogic's second-quarter earnings report will be released before the market opens on July 23.
The statement was issued before the stock market opened on July 20. Senator and Cannae had no comment on CoreLogic's statement.
Since the offer became public before trading opened on June 26, CoreLogic's stock price has been near or above the Cannae/Senator offer.
The due diligence request followed a meeting between the three parties on July 14, after which CoreLogic said in a press release that Senator and Cannae refused to raise its offer.
"We are open to continuing our dialogue, but we are focused on delivering superior shareholder value by executing on our plan," the CoreLogic press release added.
Separately, CoreLogic said in a regulatory filing, that on July 14 the Federal Trade Commission notified the company that the agency is conducting an investigation of the "proposed acquisition" and requested that it "produce information in connection with that investigation."
An FTC spokesperson said the agency does not comment on or confirm the existence of investigations, because they are not public.