Carillion has revealed it is to wipe pound;120m off Mowlem's balance sheet after it agreed a pound;291m price tag for the ailing contractor. The deal, which would create a pound;4bn turnover company in the same league as Amec and Balfour Beatty, comes after the two companies were locked in negotiations until 5.30am on Wednesday morning. The firms finally agreed a cash and equity offer that values Mowlem at 205p a share - significantly less than the 225p it was hoping for. Carillion's next move will be to circulate a prospectus to Mowlem's shareholders shortly after Christmas. The deal is then likely to be closed by the end of March, subject to the offer being accepted by Mowlem's shareholders.
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