As anticipated by Panta Capital on 22-Sep-09, Just Retirement (JR/ LN) reached agreement on the terms of a recommended bid by Avalon, a newly incorporated company owned by funds advised by Permira Advisers. Under the terms of the proposal, Just Retirement shareholders will receive 76p cash per share, and will be implemented by a court-sanctioned scheme of arrangement.

The scheme -which has no competition approval risk- has already received irrevocables/acceptances of 67.3% of Just Retirement's existing issued ordinary share capital and only needs another 7.7% of Just Retirement's shares to accept the offer for the Scheme to become effective on the minimum 75% share acceptances condition. 

Given the short duration of the scheme and the very high likelihood of completion, we remain holders of Just Retirement shares. We would add more if the share price falls under the 74p price level, to achieve a 2.7% return over 2 months (annualized return of 16% assuming end-Nov completion).