National Express has decided not to raise its bid for fellow UK transport firm Stagecoach, as the deadline fast approaches for the acceptance of a rival offer.
The two transport firms had initially agreed a deal to merge in December, only for Stagecoach’s board to later accept a rival £595 million offer from German investment fund DWS Infrastructure.
The deadline for Stagecoach shareholders to agree to the DWS deal is 21 May and the current acceptance rate is just over 30 per cent.
National Express issued a statement ahead of the deadline saying that its all-share deal for Stagecoach was “final” and would not be increased.
The coach operator also again stressed that its offer represented “superior value” to the DWS deal for Stagecoach and would create a “global leader” in the ground transport sector for the UK.
“National Express considers the terms of its proposal to be full and fair and has decided that the terms will not be increased and are now final, save that National Express reserves the right to improve these terms with the recommendation of the Stagecoach board,” said National Express in a statement to investors.
“The board of National Express continues to encourage Stagecoach shareholders to take no action in relation to the DWS offer. Further announcements by National Express will be made as and when appropriate.”