Atlas Arteria slams IFM's low takeover acceptances

Toll road operator Atlas Arteria (ASX:ALX) has hit back at a hostile $7 billion takeover bid from its largest investor, claiming IFM Investors has received a "low level of acceptances" from shareholders.

In its second supplementary target’s statement, Atlas Arteria strongly urged investors to reject the play, arguing that IFM’s recent move to extend the closing date was a strategic delay tactic.

Extending the deadline by a week allowed the pension-fund-backed suitor to temporarily skirt strict ASX disclosure requirements regarding its current voting power.

Under Australian market regulations, any incremental increase of 1% or more in a bidder's stake must be formally publicised on the following trading day, a milestone that has not yet been triggered.

IFM, which currently controls a 35% blocking stake in the infrastructure giant, originally offered $4.75 per share.

However, the suitor incentivised the deal by promising to bump the offer price to $5.10 per share if it could successfully secure a 45% position before the closing bell.

IFM's extension has pushed the critical deadline back from June 11 to June 18, buying the hostile bidder extra time to win over reluctant institutional and retail investors.

At the time of reporting, Atlas Arteria’s share price was $5.07.