Redrow chairman Steve Morgan in takeover approach

Homes under construction Redrow is considering the bid approach

Related Stories

Housebuilder Redrow has received a £560m takeover approach, involving the company's chairman and founder, Steve Morgan.

The approach is from three investment funds, Bridgemere Securities, which is controlled by Mr Morgan, Toscafund Asset Management and Penta Capital.

The three have made a preliminary offer of 152 pence a share.

Redrow said it had formed an independent committee of directors to look into the offer.

It urged shareholders to take no action while it was considering the bid.

The housebuilder's share price closed at 151p on Thursday, but the investment funds said their offer represented a 23.8% premium to the average share price over the past 90 days.

Mr Morgan - who owns Wolverhampton Wanderers football club - founded Redrow in 1974. He left the firm in 2000 but then returned in 2009.

More on This Story

Related Stories

The BBC is not responsible for the content of external Internet sites

More Business stories

RSS

Features

  • Two sphinxes guarding the entrance to the tombTomb mystery

    Secrets of ancient burial site keep Greeks guessing


  • The chequeBig gamble

    How does it feel to bet £900,000 on the Scottish referendum?


  • Tattooed person using tabletRogue ink

    People who lost their jobs because of their tattoos


  • Deepika PadukoneBeauty and a tweet

    Bollywood cleavage row shows India's 'crass' side


  • Relief sculpture of MithrasRoman puzzle

    How to put London's mysterious underground temple back together


BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.