Berendsen Turns Down Elis Buyout Offer

TRSA international member Berendsen PLC, London, recently rejected a revised £2 billion ($2.6 billion) offer by Saint-Cloud, France-based Elis. Berendsen said that the offer didn’t reflect the value being added by the UK firm’s ongoing expansion and modernization plans, according to media reports.

Berendsen said it was investing £450 million to expand in Europe, and to replace plant and machinery in Britain. “The board of Berendsen unanimously concluded that the revised proposal very significantly undervalues Berendsen and its prospects,” the company said in a statement.

Berendsen, which posted annual revenues of £1.1 billion for 2016, said in March that its profitability in 2017 would weigh heavily on its second-half earnings as profits in the first half would be reduced by its legacy operations in Britain, which account for about one-third of the company’s business.

To read the full report, click here.