UK Brickmaker Michelmersh is aiming to take a 10% share in Baggeridge Brick, Britain’s fourth largest brickmaker.
The move comes as Baggeridge waits for a ruling from the Competition Commission over a £89m bid for the firm from Austrian brickmaker Wienerberger.
Michelmersh is considering buying a 10% stake and has approached shareholders. It is understood that Charles Stanley, its broker, is offering about 190p a share. This week Baggeridge was trading at about 192p.
This has prompted speculation that Michelmersh is planning to make its own offer for Baggeridge, although the firm denies this.
Wienerberger’s offer has been under investigation since August because of concerns that it would reduce the number of UK brickmakers to three. Wienerberger already owns thebrickbusiness, the UK’s third largest supplier after CRH and Hanson.
If Wienerberger’s bid fails it is thought that Baggeridge will look for another buyer.
Alexander Ward, chairman of Baggeridge, told the company’s annual meeting that it was in a good position to cope with tough trading conditions because it had little debt.
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