Shares in Countrywide jumped by more than 6% to close at a near-nine month high as rival estate agency Connells confirmed plans to bid for the business.
Shares in Countrywide jumped by more than 6% to close at a near-nine month high as rival estate agency Connells confirmed plans to bid for the business.
Connells confirmed this morning that it will offer 250p per share to buy Countrywide, dependent on the target’s board recommending the deal to shareholders.
Having completed due diligence, Connells said Countrywide needs a “significant capital investment” beyond the scale set out in a planned £90m deal with private equity house Alchemy Partners.
“There is no quick and easy fix for Countrywide,” said Connells chief executive David Livesey. Turning the business around, especially in unpredictable market conditions, will be a difficult, expensive and lengthy process.”
Countrywide shares closed at 230p.
The sharpest real estate rise across the FTSE 350 was from serviced office group Workspace, which was up by almost 6% at 714p.
Cinema chain Cineworld and pubs and restaurants operator Mitchells & Butlers were also among the day’s biggest gainers.
The FTSE 100 finished the day at 6,333 points, down 0.3%. The FTSE 250 was up by 0.4% at 19,582.
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