BUILDERS merchant Travis Perkins said it has made an £553m offer for plumbing and heating company BSS Group.
The firms said in a joint statement they were in advanced discussions regarding a cash and shares offer from Travis Perkins that values each BSS share at 433 pence.
Travis Perkins said its indicative offer comprises 232.91 pence in cash, 0.2608 new Travis Perkins shares per BSS share and the payment of BSS’s final dividend for the year to 31 March of 6.09 pence a share.
BSS said its board would currently be prepared to recommend an offer by Travis Perkins if made on the same terms as the indicative offer.
Travis Perkins said it would fund the cash element of any offer from existing facilities.
It said a combination with BSS would create the UK's leading plumbing and heating trade and retail distribution business.
City A.M. Reporter