Wyevale calls end to takeover talks
Takeover talks at Wyevale collapsed yesterday after private equity firm Cinven said it would not bid 580p per share for the garden centre retailer.
Cinven had the backing of Wyevale’s largest shareholder Laxey for a bid, provided it met a price of 580p price and tabled an offer by 2 December.
An offer at the 580p level would have valued Wyevale at £325m. However analysts, who had hoped for as much as 600p, were concerned that the tough trading climate would scupper any bid.
Cinven said any offer it might make could not be expected before January.
Chairman David Williams — who Laxey tried to oust this year — said he had “terminated discussions” with Cinven. “The last six months has been a massive distraction for the Wyevale team,” he said. “Management can now focus on running the business.”
Gary Favell has been promoted to chief executive and will now oversee the sell-off of smaller centres.
