Crest Nicholson rejects two takeover proposals from Bellway

(Sharecast News) - Crest Nicholson confirmed on Friday that it has rejected a second, unsolicited takeover approach from Bellway which valued the group at about £650m. Under the terms of the latest offer, received on 7 May, Crest shareholders would receive 0.093 new ordinary shares in Bellway for each of their shares.

This represents an implied value of 253p per Crest Nicholson share, which is a premium of about 18.8% to the closing share price on Thursday.

"The board of Crest Nicholson evaluated the revised proposal with its financial advisers and concluded that it significantly undervalued Crest Nicholson and its future standalone prospects and was not in the best interests of Crest Nicholson's shareholders," it said.

"The board therefore unanimously rejected the revised proposal on 14 May 2024."

Crest Nicholson said Bellway made an initial approach on 25 April, which would have seen shareholders receive 0.089 new ordinary shares.