British car dealership Lookers said that shareholders representing about 25 percent of its voting rights intended to oppose a proposed acquisition by Global Auto Holdings and the deal was unlikely to succeed.
“In the event that the resolutions (related to the proposed deal) do not pass, as the Lookers directors now expect, the scheme of arrangement will lapse and Lookers will remain an independent listed company,” the British company said in an updated statement following an initial disclosure before the market opened.
Shares in Lookers declined further after the second statement, sliding as much as 17 percent to 98.8 pence ($1.26), and were trading about 15 percent down earlier on Thursday.
Last month, Global Auto Holdings, an entity related to privately-owned Canadian car dealer company Alpha Auto Group, said it would buy Lookers for about 465.4 million pounds ($601.3 million) in cash, pending shareholder approval.
