Umeco agrees acquistion deal, shares leap
Specialist engineering firm Umeco has received an offer from Cytec Industries' subsidiary Cytec UK Holdings, for the entire company.
Specialist engineering firm Umeco has received an offer from Cytec Industries' subsidiary Cytec UK Holdings, for the entire company.
Cytec and Umeco have agreed that the latter's shareholders will be paid 550p in cash per share, which values the entire company at around £274m.
The price represents a premium of around 46.3% to the closing price on April 11th.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The company said that if the acquisition goes ahead, no final dividend will be paid.
Neil Johnson, Non-Executive Chairman of Umeco, said: "The board of Umeco believes that the offer from Cytec of 550p per Umeco share is an attractive price for Umeco shareholders, and represents a valuation that reflects the future growth potential of Umeco whilst providing certainty, in cash, to Umeco Shareholders."
The share price soared 47.21% to 553.50p.
NR
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
Revolut launches its first stocks and shares ISA with BlackRock and Vanguard ETFs
A year after getting its UK banking licence, Revolut is now launching its first stocks and shares ISA with a suite of exchange-traded funds (ETFs) from BlackRock and Vanguard.
-
What does Trump’s ‘Big Beautiful Bill’ mean for the US economy?
Donald Trump’s budget bill will slash taxes, but is expected to add at least $3 trillion to US national debt