Countrywide bags new firm offer from Connells as Alchemy steps up chase

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Countrywide PLC (LON:CWD) has received an increased firm cash offer from rival estate agent Connells at a price of 325p per share.


Last week the company’s board rejected a 250p per share cash offer put forward by Connells a month earlier.


This came two weeks after Countrywide said it was abandoning plans for a refinancing that included a cash injection of GBP90mln from private equity group Alchemy Partners.


The board said there was insufficient support for the Alchemy proposal but that it was talking to the private equity group about other options including an amendment to the terms of financing while also considering raising new equity from other shareholders or a deal with Connells


Last Friday Alchemy proposed a new deal combining a possible cash offer at 250p per share in combination with a firm placing and an open offer to raise GBP70mln.


Alchemy said it had support for the deal from shareholders holding 44.8% of Countrywide‘s shares.


Those shares were up 19% to 303.29p in early trading on Monday.


–Adds shares–

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