Epwin Group has unanimously recommended a cash acquisition offer from the UK arm of Germany-based Laumann Stiftung & Co. KG, valuing the firm at £167.3 million, with shares jumping at the announcement.
Under the proposed deal, Epwin shareholders will receive 120 pence per share, representing a 31.9 per cent premium over the stock’s closing price on Wednesday (6 August).
The construction products and IT services provider subsidiary, Laumann Group UK Limited’s offer amounts to £167.3 million on a fully diluted basis, with an enterprise value of £269.6 million.
It follows a strategic evaluation of the £324-million-turnover Solihull-based building product manufacturer’s market position, particularly in the UK’s housing and construction sectors.
Despite market challenges, including macroeconomic pressures, Epwin’s board believes the acquisition offers shareholders an attractive exit at a favourable price.
Following the announcement, Epwin’s shares rose by 29.7 per cent, reaching 118.1 pence yesterday morning (7 August).
Laumann intends to retain Epwin’s current management and operational structure, which includes more than 2,100 employees, ensuring business continuity.
Both companies expect the acquisition to strengthen Laumann’s UK market presence and create synergies for growth.
Stephen Harrison, chairman of Epwin, said: “The acquisition recognises the strengths of the Epwin business, allowing shareholders the opportunity to realise their investments in cash and in full at a higher level than the Epwin Shares have traded in more than eight years, whilst providing Epwin with a stable and supportive new owner, committed to the continuity of the business, strategy and approach.”
The deal is expected to close in Q4 2025, pending shareholder approval.
Houlihan Lokey UK is the financial adviser, and Osborne Clarke is the legal adviser to Laumann.
While, Shore Capital is Epwin’s financial and Rule 3 adviser, with Eversheds Sutherland providing legal counsel.
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