Intertek has agreed to be acquired by Swedish private equity firm EQT in a deal valued at about £10.9 billion, or $14.5 billion, including debt.
The transaction values Intertek’s equity at £9.5 billion. The offer includes £61.08 per share in cash and dividend consideration.
Intertek is a U.K.-based product testing, inspection, and certification company. The company serves customers across industries where testing, quality assurance, safety, and compliance are critical.
The deal follows several months of negotiations between EQT and Intertek. EQT made four bids for Intertek since mid-April, with the first three offers rejected on valuation grounds.
EQT’s earlier offers were £51.50, £54, and £58 per share in cash. Intertek had been exploring a potential plan to split itself into two standalone businesses before agreeing to the takeover.
The agreed offer represents a 40% premium to Intertek’s closing share price on April 15, the day before EQT’s first approach became public.
The transaction would rank among the largest U.K. take-private deals, according to LSEG data cited by Reuters.
Several investors had urged Intertek to engage with EQT, including Palliser Capital, PrimeStone Capital, and Lost Coast Collective.
Following the deal, Abu Dhabi Investment Authority and Mubadala are expected to become minority shareholders in Intertek, with stakes of 16% and 8%, respectively.
Morgan Stanley, Barclays, and Deutsche Bank advised EQT. JPMorgan, Goldman Sachs, and PJT Partners advised Intertek.
KEY QUOTES:
“We are pleased to see this deal agreed and believe it represents a positive outcome for shareholders.”
James Smith, Founder and CIO of Palliser Capital
