New bid trumps Siebe offer for Whessoe
Thursday 27 February 1997
Seatex Garex, a Norwegian navigation systems group soon to be renamed Navia, and Endress & Hauser, a Swiss maker of process controls, have teamed up to make a joint bid at 175p a share, well above the 155p which the Whessoe board backed a fortnight ago. The consortium scooped up a 10.6 per cent stake at 175p in its target yesterday from its three leading institutional shareholders: M&G, Aberforth and PDFM, the fund management arm of UBS, the Swiss bank which is advising the bidders.
News of the bid prompted a 27p rise in Whessoe's share price to 184p yesterday as the market anticipated Siebe returning with a higher offer. Siebe would only say it was considering its options and would make a statement in due course.
The move by the continental groups follows an approach by Seatex to Whessoe in November 1995 for its Autronica offshoot, a marine automation and fire detection business which, like Seatex, is based in Tronheim, Norway. The Norwegian group later teamed up with Endress and earlier this month entered discussions with the Siebe board in an attempt to gain a recommendation for a bid for the whole group. These talks lapsed after Siebe announced what was at was at that stage a higher offer.
Christopher Fleetwood, Whessoe's chief executive, described the latest move as "a slightly unusual turn of events". The latest bid would have to be considered by the board before it reported back to shareholders, he said.
The recent share price performance represents a remarkable rebound from the six-year low of 86.5p hit last December after the group unveiled a 57 per cent fall in profits to pounds 560,000 in its first full-year since withdrawing from its former engineering businesses. Analysts are expecting profits to rebound to around pounds 4m this year, which the consortium said meant its offer was worth over 22 times expected earnings.
Mr Fleetwood said around half the group's revenues would be derived from new products by 1998, including a large number due later this year.
- 1 Venezuela Expo Tattoo 2015: Extreme body art from 'Vampire Woman' to 109mm earlobes
- 2 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 3 Ball pool for adults opens in London
- 4 Game of Thrones season 5 trailer: The first full-length look is here
- 5 Rashida Jones speaks out against male-centric porn saying 'women should have sex and feel good about it'
Boris Johnson claims porn-obsessed Islamic jihadists are 'literally w*****s'
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Putin opponent reveals Russian President's daughter's secret identity
Ball pool for adults opens in London
Amal Clooney gives excellent response to fashion question at European Court of Human Rights
9 reasons Greece's experiment with the radical left is doomed to failure
Have we reached 'peak food'? Shortages loom as global production rates slow
Greece elections: Syriza and EU on collision course after election win for left-wing party
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
King Abdullah dead: We can't afford not to hold Saudi Arabia's royals to account
iJobs Money & Business
£40000 - £50000 per annum: Recruitment Genius: This is an exciting opportunity...
£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...