UK-listed testing and inspection group Intertek has formerly turned down a revised takeover proposal from Swedish private equity firm EQT, arguing that the offer significantly undervalues the business and presents considerable execution uncertainty, according to a report by Bloomberg.
EQT’s latest proposal, submitted earlier this week, valued Intertek at approximately £8.93bn ($12.1bn), equating to 58 pence per share. The bid marked an increase on two earlier approaches priced at 54 pounds and 51.5 pounds per share respectively, both of which were also rejected by the company’s board.
Intertek said the enhanced offer failed to adequately reflect the company’s long-term prospects and strategic value, while also citing concerns around deal completion risk.
Should a transaction eventually proceed, the acquisition would rank among the largest private equity buyouts in the UK market in recent decades. According to Mergermarket data, it would be second only to KKR’s £11.1bn acquisition of Boots in 2007.
