Montpellier bids for Bullough

Montpellier has launched a £6.3m bid to acquire struggling temperature controls and office furniture supplier Bullough.

Montpellier is offering Bullough shareholders 12p per share, a premium of 85% over the closing middle market price of 6.5p per share on 16 April.

Since the year ended 31 December 2000, Bullough has incurred a total loss of £18.5m after tax. In 2002, Bullough posted a pre-tax loss of £7.4m on a dipping turnover of £82.7m. The majority of the loss and turnover came from its Workplace Solutions division, which manufactures and supplies office furniture. The temperature controls division posted an operating profit of £1.2m.

If the bid is successful, Bullough will become part of a new Montpellier division Tobull.