KKR Seeks to End UK Rough Patch with Punchy Spectris Bid
The US investment firm on Wednesday offered £4.1 billion ($5.6 billion) in cash for Spectris Plc, the British maker of precision testing equipment and software, topping a rival proposal from Advent. The price represents a 96.3% premium to Spectris stock on June 6 — the last trading day before Bloomberg News reported Advent was circling.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
7 hours ago
- Yahoo
KKR Strikes Back: $5.6 Billion Bid Could Flip the Script on London's M&A Drought
KKR (NYSE:KKR) is swinging hard again. After a streak of misses in the UK, the U.S. private equity giant just put 4.1 billion ($5.6 billion) on the table to acquire Spectris Plcthe British precision testing equipment company. That's a 96.3% premium to Spectris' share price before buyout rumors hit in early June. And this time, KKR isn't just offering cash. It's offering equity ownership to Spectris employees, a move that might tip the scales in its favor. The board, which previously turned down a conditional KKR proposal, is now on board. But this could still turn into a bidding warAdvent, the original suitor, hasn't made its final move. Warning! GuruFocus has detected 8 Warning Signs with KKR. It's been a frustrating run for KKR in the UK. In May, it pulled out of talks to acquire analytics firm GlobalData. Then in June, it lost out on Assura Plc after the board sided with Primary Health Properties, a strategic player. Even outside of listed companies, KKR backed away from investing 4 billion in Thames Water following extended due diligence. And yet, the firm isn't slowing down. A spokesperson noted that KKR has invested nearly 4.5 billion in UK equity over the past 18 months, across deals like Viridor (waste management), ERM (sustainability), and Dawsongroup (asset leasing). So why keep hunting in London? It's simple. UK assets are cheapand KKR knows it. According to Peel Hunt, U.S. private equity firms made over a quarter of all UK bids in the first half of the year. Charles Hall, Peel Hunt's head of research, calls the UK a happy hunting ground for buyout firms. And KKR is playing the long game. After deals in Sweden and broader Europe, the Spectris offer could mark a turning point in its international push. But Advent might not go quietly. This story's far from over. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
8 hours ago
Britain's Starmer backs his Treasury chief after U-turns dent the government's fiscal plans
LONDON -- British Prime Minister Keir Starmer's office said Wednesday that Treasury chief Rachel Reeves is secure in her job after a series of government U-turns dented her revenue-raising plans. Speculation about Reeves' future mounted after she appeared to be in tears Wednesday in the House of Commons, the day after an embarrassing reversal for the government over its plans to cut welfare spending. Many viewers observed that Reeves looked exhausted and upset as she sat behind Starmer during the weekly Prime Minister's Questions session. The Treasury said Reeves was dealing with a 'personal matter.' It would not elaborate. Starmer initially declined to say, when asked by opposition leader Kemi Badenoch, that Reeves would still have her job when the next election is called, likely in 2029. But Starmer's press secretary later said Reeves 'is going nowhere. She has the prime minister's full backing.' On Tuesday, Starmer's government was forced to water down plans to curb welfare spending in order to quell a rebellion by lawmakers from his own party. In something of a hollow victory, the bill passed its first big House of Commons hurdle after the government appeased Labour Party rebels by softening and delaying cuts to welfare benefits for disabled people. Even so, 49 Labour lawmakers voted against the bill. The result is a major blow to Starmer's authority as he approaches the one-year anniversary of his election on Friday, reckoning with a sluggish economy and rock-bottom approval ratings. It also leaves the Treasury short of money it had counted on to invest in public services, making tax increases more likely. The government has promised not to raise key levies including income tax and sales tax. The government estimated that its welfare reforms would save 5 billion pounds ($7 billion) a year, but after the changes it's unclear whether they will save any money at all.
Bloomberg
8 hours ago
- Bloomberg
ADIA, CVC Said Among Firms Eyeing Stake in $12 Billion Aggreko
The Abu Dhabi Investment Authority, buyout firms KKR & Co. and CVC Capital Partners Plc are among parties considering buying a minority stake in Aggreko, one of the world's biggest suppliers of portable power generators, according to people familiar with the matter. Aggreko's owners TDR Capital and I Squared Capital are planning to sell as much as 30% in the Glasgow-based company and a deal could value the entire business at $12 billion or more, the people said. The stake sale could also draw interest from other financial investors, the people said, asking not to be identified as the information is private.
