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Last Updated: Thursday, 17 November 2005, 08:30 GMT
BPB accepts bid from French firm
Bluewater shopping centre, Kent
BPB products have been used at a range of sites across the globe
UK plasterboard firm BPB has agreed to be bought by France's Saint-Gobain, marking the end of a long-running takeover battle for the company.

Saint-Gobain has agreed to pay 775 pence per share for BPB, which values the UK firm at 3.9bn ($6.7bn).

In August, Saint-Gobain had launched a hostile takeover bid of 720p a share, a price which BPB argued "fundamentally undervalued" the business.

BPB runs 90 factories worldwide, employing more than 12,500 staff.

Saint-Gobain makes ceramics, plastics and cast iron as well as glass, operating in more than 49 countries.

Saint-Gobain have today made a compelling offer which delivers full value for BPB's world leading position and its future prospects
Sir Ian Gibson, BPB chairman

"Combining our insulation business with BPB creates a global leader in building interior solutions," said Jean-Louis Biffa, chairman and chief executive of Saint-Gobain.

The price is right

The French company said in July that it was considering a bid for BPB, and its first approach was reported to be an offer of 675p per share.

But BPB rejected all bids and put up a robust defence by saying it would raise dividends and return 600m to investors.

However, BPB said it would now be recommending Saint-Gobain's latest price.

"BPB's strategy has been to provide superior growth as a focused independent company," said Sir Ian Gibson, BPB chairman.

"However, Saint-Gobain have today made a compelling offer which delivers full value for BPB's world leading position and its future prospects."




SEE ALSO:
French firm extends offer for BPB
14 Nov 05 |  Business
French group 'to raise BPB offer'
13 Nov 05 |  Business
BPB sweetens hostile bid defence
05 Oct 05 |  Business
BPB battles hostile French offer
03 Oct 05 |  Business
BPB suitor sets out hostile bid
31 Aug 05 |  Business
Hostile bid for plasterboard firm
03 Aug 05 |  Business


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