Outdoor advertiser oOh!media has confirmed its takeover bid for Here, There & Everywhere's (HT&E) out-of-home business Adshel has been rejected.
The company says it submitted a confidential, non-binding indicative offer to the Australian and New Zealand media company in relation to Adshel, but HT&E "declined to engage" in the offer.
"OML (oOh!media) has a long history of securing new contracts and successfully sourcing and integrating strategic acquisitions and bolt-on opportunities, and remains active in continuing to evaluate all opportunities that enhance shareholder value," oOh!media said in a statement on Thursday.
HT&E, formerly known as APN News & Media, said it had assessed the takeover bid but found it was too low.
It comes after the group in October failed to renew Adshel's Yarra Trams contract after six years and said the loss of the contract could hit its annual earnings by about $15 million.
On Wednesday, HT&E said Adshels's revenue performance for the first quarter was in line with its February update, which said bookings are level with 2017, and forward bookings suggest a similar outcome in the second quarter of the year.
HT&E said ongoing initiatives including the launch of Metro Trains Melbourne over the next four to six weeks, will ensure Adshel remains a key operator in the out of home landscape, particularly in Melbourne.
In its radio division, Australian Radio Network, HT&E confirmed first half revenue is tracking ahead of the prior corresponding year by five to six per cent.
It expects to reach the current earnings consensus estimates of between $113 million and $114 million.
oOh!media shares were down five cents, or one per cent to $4.74 by 1240 AEST, while HT&E shares had risen 23.5 per cent, or 12.5 per cent, to $2.115.
