News

The logistics giant has revealed its intention to make an indicative cash offer for TDG at a value of 281.25 pence per ordinary share, or 290p when the dividend of 8.75p is included. This represents an increase of 15p on the indicative cash offer of 275p made by private equity firm Laxey in February. Wincanton says that since 14 April, it has undertaken preliminary due diligence with the assistance of TDG’s board.

A statement from Wincanton says the announcement of a formal offer is subject  to the recommendation of the board of TDG, finalisation of financing and satisfactory support from TDG’s major shareholders. It adds: "Wincanton believes that there may be attractive opportunities to generate significant profit improvement through both cost-driven synergies and operational efficiencies and to create value through improved utilisation of the combined property portfolio".

Wincanton says any offer, if made, would also need the approval of its own shareholders. The company adds: "This announcement does not amount to a firm intention to make an offer". Today, Laxey - which owns about 22% of TDG's issued share capital - restated its interest and confirmed its own indicative offer price would remain 275 pence per share.

A statement from TDG says: "TDG will seek to agree with Laxey Partners, Wincanton and the Takeover Panel a formal timetable in which each part must either announce a firm intention to make an offer for TDG or announce that it does not intend  to make an offer".