Morrisons bidder raises takeover offer to £6.7bn
The consortium led by US private equity firm Fortress has increased its previous offer, which had been agreed by management at the Bradford-based retailer, by £400m.
The bidder said it increased its offer amid “speculation regarding a possible counter-offer by Clayton, Dubilier & Rice (CD&R)”, a rival US private equity firm which saw a £5.5bn approach rejected last month.
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Hide AdUK takeover regulators had given CD&R a deadline of Monday August 9 to either place its own firm bid for the chain or walk away.
It also comes after a string of Morrisons’ investors – including largest shareholder Silchester – said they would not back the original 254p per share offer agreed.
The latest deal will value the company at 272p per share.
Morrisons said in a stock market statement: “Morrisons directors believe that the increased Fortress offer is in the best interests of Morrisons shareholders as a whole, and accordingly unanimously recommend that Morrisons shareholders vote in favour of the resolutions required to implement the increased Fortress offer."