Wincanton, UK: The Wincanton board of directors is backing a £762m takeover offer from GXO in the latest twist in a bidding war for the company. Wincanton said that directors intended to recommend unanimously an offer of 605p a share made by GXO.
As a result, the board is withdrawing its support for an “increased and final cash offer” from Ceva Logistics at 480p a share.
Ceva Logistics, a unit of French shipping firm CMA CGM, then pulled out of the race, saying on Tuesday that it would not be increasing its takeover offer any further.
“The Wincanton directors intend to recommend unanimously the GXO offer and, accordingly, have withdrawn their recommendation of the increased and final cash offer by Ceva Logistics UK,” said Wincanton.
Wincanton chairman Martin Read said: “Under the current management team, we have made positive progress and ensured that Wincanton is at the forefront of logistics innovation.
“The board is pleased that GXO recognises the very significant value inherent in this business, and intends to recommend the offer to shareholders for their consideration.”
Under the terms of Ceva’s improved bid, it retains the right to make a counter offer, but this needs to meet a deadline of close of business on Wednesday, 6 March.
