US investor triumphs in £85m ISG takeover battle

摘要

US investor Cathexis is getting a good deal for UK builder ISG with its £8Sm takeover, according to analysts. The US firm is likely to refocus ISG on its core fit-out business before attempting to sell it on for a profit within five years, analysts have said. Cathexis triumphed in its 10-week battle to buy ISG last Wednesday, with its second improved offer of £1.71 per share, or £85m. The firm had previously failed with a £1.43 a share, or £71m, bid in December. ISG's board had repeatedly rejected Cathexis' takeover approaches before performing a dramatic U-turn last Wednesday morning, approving the deal once it became clear Cathexis was on course to reach the 50% threshold required to take the deal unconditional - which it duly did later that day with 58% support.