Intertek Rejects EQT Buyout as Shares Rise 12 Percent
The UK testing group Intertek rejected a takeover bid from EQT and plans to split its operations. Shares rose 12 percent following the news on Thursday.
The United Kingdom-based product testing and certifications group INTERTEK GROUP PLC has rejected a takeover proposal from the Sweden-based private equity firm EQT AB. The rejection, which was made public on Thursday, resulted in Intertek shares climbing 12.3% to reach a peak of 49 pounds per share. This surge gives the company a market valuation of 7.54 billion pounds ($10.21 billion). EQT stated that it is currently exploring its options after its proposal was turned down earlier in the week. Although the specific details of the bid were not disclosed, Intertek announced plans on Tuesday to explore a separation of its business into two standalone firms. This strategic announcement followed just one day after the company rejected the proposal from EQT. The British group continues to evaluate its internal structure while the private equity firm considers its next steps.
