By Nina Kienle
U.K. chain and gear maker Renold agreed to a $254 million takeover by MPE Bidco, which the companies said would improve their capabilities and opportunities.
MPE Bidco, a newly-formed corporation backed by U.S private equity firm MPE, on Friday said each shareholder of the British company would receive 82 pence in cash for each ordinary share, valuing it at 186.7 million pounds ($254.2 million).
The acquisition price represents a premium of around 50% to Renold's closing share price of 54.6 pence on May 19, the day before Renold first received the offer, the companies said in a joint statement.
"The Renold Board believes that the offer not only represents a significant premium and provides shareholders with the certainty of a cash consideration but also provides an opportunity to deliver on our strategy more quickly," Chairman David Landless said.
Renold's London listed shares were up 11% at 84 pence in late morning trading, and are up 78% in the year to date.
Write to Nina Kienle at nina.kienle@wsj.com
(END) Dow Jones Newswires
June 13, 2025 05:25 ET (09:25 GMT)
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