Proactive Investors - 7.27am: Spirent accepts offer from Keysight
Spirent Communications (LON:SPT) has accepted a takeover bid from US electronics group Keysight at 201.5p per share, representing a roughly 14% premium to Wednesday’s closing price.
The bid beats out a previous offer from Viavi by a 26.5p per share.
Keysight, which is listed on the New York Stock Exchange at a $27 billion (£21.4 billion) valuation, signalled its intent overnight.
“The Spirent directors consider that the acquisition represents a superior proposition for Spirent shareholders relative to the Viavi offer," Spirent said in a statement.
“Accordingly, the Spirent directors have unanimously withdrawn their recommendation of the Viavi offer and intend to adjourn the Viavi offer shareholder meetings.
Stocks to rally
Stocks are tipped to rally 37 points higher to 7,966 when markets open today, following a middling session on Wednesday when the FTSE 100 closed a few points lower.
It follows a rebound in the US stock market overnight. The three major US stock indexes shook off losses from earlier in the week to finish in positive territory.
On the company news front, it has just emerged that Spirent Communications will be the latest UK company to delist after agreeing to a cash offer by Keysight Technologies at 201.5p per share.
The offer represents a 14% premium to Spirent’s Wednesday closing price; the stock is likely to rally to meet this premium when trading commences.
JD Sports Fashion PLC (LON:JD) will soon have its finals out, while GDP figures and the Nationwide House Price Index are points of interest on the macroeconomic calendar.