Wincanton jumps as potential bidding war kicks off

(Sharecast News) - Logistics firm Wincanton rallied on Monday after CEVA Logistics, a unit of French shipping firm CMA CGM, sweetened its offer for the group to £604.7m, and following an approach from an unnamed third party. CEVA lifted its offer by around 6.7% to 480p per share. This is a premium of around 62% to the closing Wincanton share price on 18 January.

Wincanton also said it had received an approach from a potential competing bidder and is providing access to due diligence in line with the takeover code.

"Although the potential competing bidder has indicated that it is considering making a proposal, as of the date of this announcement, it has not provided the board of Wincanton with any formal proposal relating to a possible offer, including as to terms or price," it said.

Wincanton said there can be no certainty that an offer by the potential competing bidder will be made, nor as to the terms on which any offer might be made.

It said it continues to recommend unanimously the offer from CEVA logistics, insisting that "that recommendation has not been withdrawn, qualified or modified".

At 0925 GMT, the shares were up 11.3% at 499.70p.