Morrisons agrees to increased £6.7bn takeover bid from Fortress
Fortress’s original £6.3 billion offer for the supermarket chain, accepted in principle in July, has been raised just days ahead of a rival buyer’s deadline.
Morrisons agreed an offer from the private equity consortium led by Fortress Investment Group, just weeks after rejecting a £5.5 billion bid from rival buyer Clayton, Dubilier & Rice (CD&R). The rejected firm still has until 9th August to table a fresh offer.
In a stock market statement, Fortress said it noted there had been speculation about a possible counter offer from CD&R, adding that it “remains committed to becoming the new owner of Morrisons and to being a responsible long-term steward of this great British company through the next stage of its evolution.”
The statement continued: “Morrisons directors believe that the increased Fortress offer is in the best interests of Morrisons shareholders as a whole, and accordingly unanimously recommend that Morrisons shareholders vote in favour of the resolutions required to implement the increased Fortress offer.”
Fortress’s new offer has an increased value of 272p per share, compared with the previous offer of 254p per share. The offer will be proposed to shareholders, who will vote on the deal on 16th August.
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