BPB rejects Saint-Gobain's offer

BPB has rejected a 720p per share bid from Saint-Gobain - and in effort to keep shareholders happy will return £350m to them.

BPB chairman Sir Ian Gibson had a meeting with M. Beffa, the chairman and chief executive of Saint-Gobain, on Monday. No firm proposal was made at the meeting. Then yesterday (Tuesday) Sain-Gobain tabled a bid of 720p per share. The BPB board told the City this morning that it "believes this unwelcome proposal continues to substantially undervalue the unique position of BPB".

Once the offer period is closed (assuming the Saint-Gobain bid has been unsuccessful), BPB will return £350m-plus to its shareholders and increase its annual dividend.