TVH gets 8 February deadline to state Lavendon intentions

Belgian parts specialist TVH Services has been given until 5.00pm on 8 February to announce a firm intention to make an offer for Lavendon Group.

The UK's Panel Executive, which administers the City Code on Takeovers and Mergers in the UK, ruled that TVH must make its intentions clear by the deadline. If TVH says it will not make an offer, then it be unable to make another offer for six months, except with the consent of the Panel Executive.

The ruling follows two offers to acquire Lavendon by TVH late last year. Lavendon rejected the approaches, the second when TVH made a cash offer equivalent to a 40.5% premium on Lavendon's closing price on 30 November.

Lavendon said the approach was "opportunistic" and "significantly undervalued" the company.

TVH said Lavendon was an "attractive, well positioned business" but said its ability to exploit growth opportunities was limited by its capital constraints. It said it would be able to accelerate any investment needed to take advantage of the economic recovery.

Established in 1969, privately owned TVH Group is a specialist in parts and service for industrial forklift trucks and also sells used forklifts, operating worldwide.

More recently it has moved into parts for aerial platforms and also operates a mid-sized access rental operation in Belgium. Based in Waregem, Belgium, it employs 2100 people and operates in more than 160 countries.