UK's TT Electronics rejects two takeover proposals from Volex
· CNA · Join:Volex Plc said on Friday that TT Electronics had declined to engage with it and rejected two takeover offers it had submitted to the British electronic components maker.
Volex, the maker of power products and data connectivity cables, said the latest cash-and-stock proposal valued TT Electronics at 248.6 million pounds ($315.18 million), while the first offer comprised 62.9 pence in cash and 0.203 new Volex shares per TT Electronics share.
Hampshire-headquartered Volex said it firmly believes that the terms of the second proposal offer a highly attractive opportunity for TT Electronics shareholders to realise both an immediate partial cash exit, following the ongoing operational and end market challenges faced by TT Electronics.
Woking-headquartered TT Electronics is facing operational issues and subdued demand in North America, with an increase in costs and has signalled at a slow recovery in group order intake through 2025.
TT Electronics on Thursday cut its annual adjusted operating profit forecast for the second time within two months and now expects it to be at the lower end of a 37 million pounds-42 million pound range.
In the year to date, TT Electronics' stock has halved in value to 79 pence.
($1 = 0.7888 pounds)
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