Bovis Homes' £1bn bid for Galliford Try’s housing units rejected
UK housebuilder Bovis Homes is no longer in talks with Galliford Try following a failed billion-pound bid for the latter’s housing businesses.
Bovis Homes said it submitted a revised proposal on 8 May 2019 regarding the potential combination of Bovis Homes and Galliford Try’s Linden Homes and Partnerships & Regeneration businesses.
The proposal offered £950m (€1.1bn) together with the assumption of Galliford Try’s 10-year debt private placement of £100m in exchange for new Bovis Homes shares.
Bovis Homes said Galliford Try rejected the proposal on 24 May 2019 as it ”did not believe that the proposal fully reflected the value of the housing businesses and the need to ensure that the remaining Galliford Try UK-listed construction focused group had a viable capital structure.”
In a separate announcement, Galliford Try confirmed rejecting the Bovis Homes proposal, adding that it “is not in the interests of all shareholders.
Bovis Homes said it is no longer in discussions with Galliford Try.
FTSE 250 Galliford Try currently has a market capitalisation of £617m, whereas larger rival Bovis Homes is valued at £1.34bn