Britvic rejects £3.1bn takeover bid from Carlsberg

Credit: Carlsberg Marston’s

Robinsons squash and Tango maker Britvic has rejected a £3.1bn takeover bid from Danish beer company Carlsberg.

On Friday, Britvic said it received a proposal from Carlsberg for the whole business on June 11 valuing the company at 1,250p per share, or £3.1bn. But Britvic said the approach “significantly undervalues Britvic, and its current and future prospects” and rejected the bid.

The second proposal follows a previously rejected offer from Carlsberg received a week earlier offering 1,200 pence per Britvic share.

Britvic has its headquarters which has its roots in Somerset and has factories in Rugby, London and Leeds, as well as offices in Tamworth and Solihull. Its own brands include Fruit Shoot, J2O, Robinsons and Tango.

Carlsberg said in a statement to investors: “Carlsberg believes that the proposal represents a compelling opportunity for Britvic shareholders to realise their investment in full in cash at an attractive valuation.

“Carlsberg believes that the potential transaction would enable it to capture appealing long-term growth opportunities from Britvic’s comprehensive portfolio of leading brands in an attractive segment of the beverage market where Carlsberg already has a strong track record.”

The approach comes four years after the £780m merger between Wolverhampton-based Marston’s and Carlsberg was completed. The joint venture valued Marston’s brewing business at up to £580m and Carlsberg’s at £200m.

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