Posted: Mon 13th Mar 2017

Deeside housebuilder Redrow still keen on merger with struggling rival Bovis

News and Info from Deeside, Flintshire, North Wales
This article is old - Published: Monday, Mar 13th, 2017

Deeside based housebuilder Redrow has said it has not given up on a merger with struggling rival Bovis Homes, despite the company rejecting an initial offer.

The Redrow Board confirmed the Ewloe headquartered company had made an initial approach to the Board of Bovis on 27 February 2017.

The proposed £3bn merger would create Britain’s fifth-biggest housebuilder, behind Barratt, Persimmon, Taylor Wimpey and Bellway.

Redrow said in a statement it was still keen to reach a deal;

Redrow continues to believe the potential combination offers a compelling opportunity to create a combined business with the scale and operational strength to compete more effectively in the growing UK housebuilding market.

The potential combination would offer a balanced geographic mix of revenue, including a complementary current land bank and forward land bank mix.

Given that the proposal is largely in the form of Redrow shares, Bovis shareholders would be able to share, alongside existing Redrow shareholders, in the proven value creation skills of the Redrow management team.

The Redrow offer was rebuffed by Bovis, analysts believe Redrow could go back with an improved offer.

Galliford Try also confirmed today it had also proposed a merger with Kent based Bovis.

Bovis has been the subject of takeover speculation for some time,  it struggled to meet production targets and has seen shares drop price.

Chief executive David Ritchie resigned in January shortly after the company issued a profit warning.

Deeside housebuilder Redrow reports a record first half to year

Spotted something? Got a story? Send a Facebook Message | A direct message on Twitter | Email: [email protected]
Latest News

  • Chester Zoo bids farewell to beloved elephant Aung Bo as he heads to Dublin Zoo
  • Police seek information after youngsters vandalise digger in Flintshire quarry
  • Chester: Storyhouse kicks off Summer with street food weekend at Grosvenor Park

  • More...

    Chester Zoo bids farewell to beloved elephant Aung Bo as he heads to Dublin Zoo

    News

    Police seek information after youngsters vandalise digger in Flintshire quarry

    News

    Chester: Storyhouse kicks off Summer with street food weekend at Grosvenor Park

    News

    Senedd supports bill to promote British sign language use

    News

    Buckley ‘eyesore’ set to be transformed into a 12-bed house of multiple occupation

    News

    Flintshire holiday park giant and Chester Zoo strengthen UK wildlife protection partnership

    News

    Search and Rescue team called out after group of youngsters get lost on Moel Famau

    News

    Buckley funeral directors conversion to flats denied by Flintshire Council

    News

    Cheshire and North Wales Alliance Police Dogs lead to arrests and drug seizures

    News