London-listed laundry and textile company Berendsen today reiterated its rejection of a takeover bid from a French rival, saying it can see “no basis for discussions”.
Berendsen said the bid, valued at £2bn, “very significantly undervalues” the company and described by the approach by Elis as “highly opportunistic”.
The firm today reconfirmed its 2017 forecasts and announced 2018 profits would be £170m.
Chairman Iain Ferguson said: “The board firmly believes that Berendsen has the right strategy, management team and capital structure to deliver significant value for Berendsen's shareholders over the medium-term as an independent company.”
Berendsen also today provided a breakdown for shareholders of why it was rejecting the Elis approach.
The statement accused Elis of opportunism by targeting Berensden at a time when the firm’s share price has dipped to 63 per cent below its peak in the last year.
The board said it believes “Berendsen is at a point of inflection and that selling Berendsen on the terms offered by Elis would deprive Berendsen's shareholders of the full benefit that will accrue from the delivery of its strategy”.
Berendsen’s board announced it had rejected a takeover offer from Elis last week.