Crest Nicholson slides as Bellway abandons takeover bid

(Sharecast News) - Crest Nicholson tumbled on Tuesday after Bellway said it was not planning to make an offer for its housebuilding rival. Crest Nicholson said last month that it was "minded to accept" a revised £720m takeover offer from Bellway, having rejected an approach at £650m a month earlier.

"As noted in its trading update released on 9 August 2024, Bellway remains confident that its robust balance sheet and operational strength, combined with the depth and quality of its land bank, will enable Bellway to deliver volume growth in the years ahead and support ongoing value creation for shareholders," the housebuilder said in a brief statement on Tuesday.

Crest shares slid sharply after the announcement and by 1330 BST they were trading down 15.7% at 221.99p.

Crest Nicholson said it remains it remains confident in its standalone prospects, "in particular given conclusion of the review of provisions for completed development sites supported by external consultants, its highly attractive land portfolio and the new leadership of Martyn Clark".