A source close to the deal said: "The number of acceptances is well ahead of expectations – normally it is quite low, because institutions are cautious of a bid. Lots of private shareholders have replied."
The offer has been extended to 27 May. Although Babcock has said it needs 90% of Peterhouse shareholders to accept the offer, it can waive this and take over the company with majority consent.
Building understands the offer has now been accepted by nearly 50% of Peterhouse shareholders.
The number of acceptances is well ahead of expectations
Source close to the deal
Peter Rogers, Babcock chairman, said of the acceptances: "We are pleased to have received over 40%. The case remains that Babcock's offer is the only opportunity for Peterhouse shareholders to participate in the future growth of a larger and stronger group."
Peterhouse chairman David Jackson and director Simon Foster have said the Babcock offer, undervalues Peterhouse. They had considered a rival bid, but this has now collapsed.