The supplier of extracts and flavourings for various consumer goods markets issued a note this morning advising that its management was recommending the company be acquired by private equity. A price of 260p per share has been agreed, representing a 16% premium to Friday’s close. The deal will see the company merge with sector peer Natara, where the benefits of scale are expected to help navigate the current difficult climate. Shares in Treatt were up more than 20% to 270p in early trade, suggesting that a counterbid may follow.
It has been a torrid run for the recruitment sector in recent months but interim numbers from Norman Broadbent this morning perhaps offered the market something worth cheering. The company posted record net fee income in the trading period, something that was delivered without increasing headcount. The net cash position is now positive and management conclude that the strategic plan is working. The Norman Broadbent share price was up around 4% in early trade.
The insurance giant published interim numbers this morning which saw progress against all key metrics including adjusted operating profits up by 25%, a 5% increase in assets under administration, a 2bps margin improvement and a modest uptick in the interim dividend. The company is also set to rebadge under the Standard Life banner in a bid to bolster its UK brand position but it seems as if the market had been expecting more. The Phoenix share price was down almost 5% shortly after the open.
Most read news on Investegate this morning
Statement re Recommended Acquisition of Treatt plc - - Treatt (TET)
