Pendragon launches ‘comprehensive review’ of business following £400m takeover bid
The board of Nottingham car retail giant Pendragon has said that it is carrying out a “comprehensive review of all potential strategic options” for the company following a £400m bid for the firm earlier this week.
The firm says it is looking to maximise shareholder value after one of its major shareholders, the Hedin Mobility Grouyp, tabled a 29p-a-share offer on Monday morning (September 26).
The Pendragon group is made up of its Evans Halshaw and Stratstone brands, an omnichannel used car offering, a SaaS dealer-management division and a leasing business. The board says it “remains excited” about the future prospects for all parts of the company.
Pendragon says it is carrying out the review after Hedin said it might offload the Pinewood SaaS division if its takeover bid was successful.
A statement from Pendragon on Tuesday evening (September 27) said: “In light of the possible cash offer from Hedin Group which the board is currently considering together with its financial and legal advisers, the board will consider all options in order to maximise shareholder value. This review will include potential options with respect to each major Pendragon business, in part as a result of an indication from the Hedin Group outlined in their proposal, that it is not their intention to retain the Pinewood SaaS division for the long term and would seek an appropriate partner for the Pinewood business.
“A further announcement will be made if and when appropriate.”