Marshall in takeover approach from cinch owner Constellation

Marshall Motor Holdings has confirmed that its largest stakeholder Marshall of Cambridge which owns 64.4% of the stock, has received a cash offer from Constellation Automotive.

Constellation, which owns Cinch, BCA and Webuyanycar, is offering 400 pence per share for the group. Constellation now has 28 days to make a firm offer for the group.

In a statement Marshall Said: “There can be no certainty that any formal offer for MMH will be forthcoming, nor as to the terms of any such formal offer.”

Constellation said it was “looking forward to working with the team at Marshall” to build on their success and progress to date.

The bidding vehicle Bidco intends to seek a recommendation from the Marshall Directors for the Offer, which it has so far not sought.

The offer is conditional on Bidco carrying more than 50 per cent. of the voting rights of Marshall.

Marshall would prove an attractive acquisition for Constellation. In October Marshall has raised its forecast for full year profitability following a strong third quarter. In August it expected that full year profits for the year ending 31 December 2021 would be not less than £40m.

And while it said there was continued uncertainty over vehicle supply and the timing of a realignment to more usual market conditions, it now expects that continuing underlying profit before tax for 2021 will be not less than £50m.

[Source: MT online]