Wincanton has decided not to pursue a buyout offer for Eddie Stobart Logistics according to Reuters. It has apparently cited concerns about the target’s financial performance and liquidity.
“Wincanton will continue to explore acquisition opportunities to complement its organic growth but we owe it to our shareholders and other stakeholders not to take disproportionate risks,” Chairman Martin Read said in a statement.
Wincanton announced on October 18, 2019 that it was carrying out an assessment of Eddie Stobart Logistics. At the time it stated “Wincanton’s ability to deliver any firm offer for the listed entity, Eddie Stobart Logistics plc, primarily remains contingent upon the provision of outstanding due diligence information, including the finalisation of the ongoing accounting review by Eddie Stobart’s auditor.”
Source: Reuters
