Ashtead Technology Holdings PLC (LSE:AT.) shares rose 14.8% after the company announced an agreement to be acquired by Pine Acquisition UK Bidco Limited in an all-cash transaction valuing the business at approximately £505 million on a fully diluted basis.
Under the terms of the proposed acquisition, Ashtead Technology shareholders will receive 615 pence in cash for each share held.
The offer represents a premium of 80.9% to the company’s closing share price of 340 pence on 22 September 2026, the last business day before the commencement of the offer period.
Pine Acquisition UK Bidco Limited is controlled by funds managed by Ember Infrastructure Management.
The transaction is expected to be implemented through a court-sanctioned scheme of arrangement under Part 26 of the Companies Act 2006, subject to shareholder approval and the satisfaction of other required conditions.
Ashtead Technology’s board of directors has unanimously recommended that shareholders vote in favour of the proposed acquisition.
Bill Shannon, Chairman of Ashtead Technology, said the board considers the offer an opportunity for shareholders to realise value relative to the risk-adjusted returns that could be achieved through the company’s existing standalone business strategy.
The recommendation reflects the board’s assessment of the acquisition terms and the alternative of continuing to operate as an independent listed company.
Bidco has received irrevocable undertakings from Ashtead Technology directors holding a combined 1,822,898 shares, representing approximately 2.3% of the company’s issued share capital as of Sunday.
These undertakings relate to the directors’ commitment to support the proposed transaction through the required shareholder approval process.
Completion of the acquisition remains conditional on several approvals.
At the court meeting, the scheme must receive approval from a majority in number of shareholders voting, representing at least 75% in value of the shares voted.
Shareholders must also approve the relevant resolutions at a separate general meeting, while the scheme requires sanction by the court before it can become effective.
The proposed transaction would result in Ashtead Technology being acquired for cash at the agreed price of 615 pence per share, provided all applicable conditions are satisfied.
The company’s shares increased 14.8% following the announcement, reflecting the market movement reported after publication of the agreed takeover terms.
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