Takeover Panel grants more time to conclude Charter deal

THE Takeover Panel has granted the new suitor of gas equipment and welding group Charter International more time to conclude its offer for the group.

Warwickshire-based turnaround specialist Melrose had been the front runner to capture Charter but its offer was trumped last month by US-based Colfax Corporation.

Charter’s board has recommended a takeover offer from the American engineering group, which values the company at £1.5bn.

Melrose had initially offered 850p per share on the assumption that that no dividends would be declared or paid. It later increased this by 18p per share.

However, the Charter board still opted to go with the Colfax bid.

The Takeover Panel has now agreed with Charter and Colfax to extend the date by which the offer must be circulated to shareholders to October 17.

Melrose announced last month it was pulling out of the bidding, leaving the field clear for Colfax.