KKR, Energy Capital said to consider 6,500p per share bid for DCC

(Sharecast News) - US private equity firm KKR and Energy Capital Partners are reportedly in detailed talks about an improved takeover offer for DCC worth well over £5bn, after the energy company rejected a previous offer at 5,800p per share. According to Sky News, the consortium is in negotiations about an offer worth around 6,500p per share.

At the end of April, DCC rejected a 5,800p a share bid from the consortium worth just under £5bn, saying that it had "carefully reviewed the proposal with its advisers and unanimously concluded that it fundamentally undervalues the company and its future prospects".

Banking sources said the revised offer had been in the works for some time, despite suggestions that a previous Sky News enquiry about similar financial terms had been inaccurate. An exact price tag for the last offer could not be ascertained, Sky said.

Under UK takeover rules, the consortium has until 1700 BST on Wednesday to either make a firm offer for DCC or walk away.

At 1026 BST, DCC shares were up 2.8% at 6,165p.