Costain today confirmed that it is not the party in advanced negotiations with Mouchel and that a further revised offer has been ignored
In a statement released to the Stock Exchange this morning, Costain said it is not the “preferred possible offeror” Mouchel disclosed it is in negotiations with, regarding a take over of the firm.
It also revealed that, after “the completion of comprehensive initial due diligence, including management meetings with Mouchel” it made a further revised bid, which appears to have been ignored.
A statement released by Costain said: “The board of Costain confirms that it approached the board of Mouchel on 17 February 2011 with a revised proposal to make a recommended share and cash offer for the entire issued and to be issued share capital of Mouchel.”
In an earlier statement Mouchel said: “Although the board of Mouchel considers that the company has a strong future as an independent business, it believes that the strategic logic of a combination of Mouchel and the preferred possible offeror would provide the best option to deliver value to shareholders.”
An outcome to the protracted take over battle still appears to be some way off as Costain is likely to respond to an offer from a third party if and when it materialises.