Apiam Animal Health (ASX:AHX) received a non-binding indicative proposal from Adamantem Capital Management to acquire all of the shares in the company through a scheme of arrangement for AU$0.88 cash apiece, according to a Monday filing with the Australian bourse.

The proposal includes a rollover election, allowing shareholders to elect to receive a portion of the consideration in unlisted shares in the acquisition entity, with a minimum uptake threshold and a maximum cap, the filing said.

Additionally, the company entered into a call option over Apiam shares currently representing about 19.9% of its shares on issue, exercisable only upon the public disclosure of a competing proposal in relation to Apiam, per the filing.

Apiam Animal Health shares rose 41% in midday trade on Monday and earlier reached their highest since April 2022.