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Elementis shares rise following reported takeover interest from Innospec

Published 20/04/2021, 11:53
Updated 20/04/2021, 11:56
© Reuters.

By Samuel Indyk

Investing.com – Shares in UK chemicals company Elementis surged as much as 15% on Tuesday after reports that the company is subject to a takeover approach from US peer Innospec.

Sky News first reported that the FTSE 250 company has received a bid from Innospec that values it at more than £1bln.

The reports suggested the offer from NASDAQ-listed Innospec (NASDAQ:IOSP) would be a mixture of cash and shares and that it valued Elementis (LON:ELM) at over 200 pence per share.

The UK-based firm was subject to numerous takeover approaches from Minerals Technologies (NYSE:MTX) in 2020, the largest of which was at 130 pence per share and rejected by the board.

With speculation rife that a takeover approach has been made, a statement from either party confirming or denying the news is expected to be forthcoming.

At 11:52BST, Elementis shares were trading higher by 14.7% at 155.70 pence per share.

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