An investor group led by Formation Capital, Alpharetta, Ga., started a bidding war for Beverly Enterprises, Fort Smith, Ark., offering $12.90 per share -- a total value of $1.86 billion, according to Beverly.
That was 10 cents more per share -- about $12 million, according to Beverly -- than the definitive merger agreement Beverly announced Aug. 17 with North American Senior Care.
Beverly said its board will consider the new offer, but the previous agreement will remain in effect at least until Aug. 23, a contractual requirement. Beverly said it had not received a response from North American Senior Care.
Formation's offer renewed its earlier effort to carry out a hostile takeover of the long-term-care chain. Beverly's board decided to auction the company in March after rejecting a $1.53 billion offer by Formation.
The latest offer is no guarantee Formation and Beverly will reach an agreement.
As of July 31, Beverly operated 345 skilled-nursing facilities, 18 assisted-living centers and 64 hospice and home-care centers.