Interserve offers £116m for MacLellan

Interserve has unveiled a £116m agreed bid for MacLellan, the facilities management group with an annual turnover running to £230m.

MacLellan’s share price had strengthened by 25% over the past three months as the City got wind of the move. Even so, the 116p-a-share offer represents an 11% premium to MacLellan’s latest trading figure.

Adrian Ringrose, chief executive of Interserve, said: “This represents an exciting opportunity in the development of Interserve as one of the UK’s leading infrastructure and facilities management businesses.”

Ringrose sees a complimentary fit between Interserve’s existing outsourcing operations and MacLellan’s operations.

Prior to the deal, outsourcing accounted for 49% of Interserve’s turnover. This figure is set to jump to 58%.

The move also helps Interserve achieve a better balance between public and private sector clients. MacLellan’s customer base includes Sainsbury, Tesco, PruPim and Mapeley.

Interserve has a pensions deficit of £133m. MacLellan has 13,500 employees and a pension scheme deficit of just £25,000.