UNQUOTE

UK - Takeover dilemma for McCarthy & Stone

  • Sarah
  • LinkedIn  
  • Google plus  

The largest builder of retirement homes in the UK, McCarthy & Stone, recommended a joint offer by Permira and Barclays Capital earlier this week. However, now a rival consortium made up of HBOS, the Reuben brothers and West Coast Capital has indicated that it wants to place a higher bid for the business, offering ТЃ10.30 a share.

This bid has not been formalised due to the £10m break fee the McCarthy & Stone board will have to pay to the Permira/BarCap team if it switches to the higher offer. The Financial Times reports that the HBOS-led consortium were said to feel handicapped since the £10m pay out to Permira/BarCap will then allow it to use that £10m in a counter-offer. The £10m break fee was reported by the Permira camp to be legally-binding.
  • LinkedIn  
  • Google plus  

More on Buyouts

Latest News