Invensys backs Schneider bid

 
Marion Dakers
INVENSYS has agreed to be taken over by French engineering group Schneider Electric in a £3.4bn cash and shares deal, laying to rest expectations of a bidding war.

The FTSE 250-listed firm’s board has approved the offer. Schneider said the tie-up will generate €400m (£350m) in savings a year by 2018 thanks to a bigger customer base and economies of scale. The deal will also produce tax savings of £400m via tax credits accrued by Invensys.