7 Sep 2023
Insight
UK
In August 2023, there were three Rule 2.7 announcements made across the UK public M&A market and one further possible offer announced.
Firm Offers announced this month:
- Recommended cash offer by Francisco Partners Management, L.P. for Blancco Technology Group plc - £175 million – public to private
- Recommended cash offer by SailPoint Technologies, Inc. for Osirium Technologies plc - £3.11 million – public to private
- Recommended cash offer by ARCHIMED SAS for Instem plc - £203 million – public to private
Possible Offers announced this month:
- Possible offer by Tim Scott for Kinovo plc - £34.8 million – cash consideration
August 2023 Insights:August marks the quietest month of 2023 for public M&A deal activity, with just three firm offers and one possible offer announced. Overall, there has been a steady decrease in the number of firm and possible offers made in August over the last three years. This reflects the current market conditions which started to become more subdued moving into Q4 2022. However, the average value of the firm offers made in August, £127 million, remained comparable to previous months – for example, five firm offers were made in March 2023 with an average value of £120 million – demonstrating that there is still an appetite for public M&A deals. |
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| In all three firm offers announced this month, the target is in the computer and electronic equipment sector. This sector has accounted for 19% of the firm offers announced in 2023 so far, marking an uptick in sector activity after a quieter few years. Interestingly, all of the target companies involved in the 2023 deals in this sector were AIM-listed. This reflects the fact that AIM tends to attract companies which are looking to grow by interacting with investors who understand the dynamics of an entrepreneurial business. Indeed, four out of the six firm offers for computer and electronic equipment companies were made by sponsor bidders looking to accelerate the company's growth and expand their business, both organically and inorganically. |
Useful links
- Herbert Smith Freehills Takeovers Portal.
- Herbert Smith Freehills Public M&A Podcast Series.
- The Takeover Code.
- The Takeover Panel’s Disclosure Table (detailing offeree companies and offerors currently in an offer period).
Key contacts
Legal Notice
The contents of this publication are for reference purposes only and may not be current as at the date of accessing this publication. They do not constitute legal advice and should not be relied upon as such. Specific legal advice about your specific circumstances should always be sought separately before taking any action based on this publication.
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