Hargreaves Lansdown ‘willing to recommend’ £5.4bn takeover proposal
The company said the latest offer follows three previous approaches from the consortium in recent months, including a £4.7bn approach from May.
![Financial services firm Hargreaves Lansdown is in takeover talks with a consortium led by CVC Capital (Hargreaves Lansdown/PA)](https://static.independent.co.uk/2024/06/18/15/1efe9a2f62926e7c5d6f35dbcea5fe13Y29udGVudHNlYXJjaGFwaSwxNzE4ODA0NDcy-2.17475194.jpg)
Support truly
independent journalism
Our mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.
Whether $5 or $50, every contribution counts.
Support us to deliver journalism without an agenda.
![Louise Thomas](https://static.independent.co.uk/static-assets/support-us/louise-thomas.png)
Louise Thomas
Editor
Hargreaves Lansdown has said it is in talks with a consortium led by private equity firm CVC Capital and Abu Dhabi’s wealth fund over a £5.4 billion takeover approach.
Bosses at the financial services firm have told investors they would “be willing to recommend” such a deal if the suitors lay down a firm offer.
The company said it follows three previous approaches from the consortium in recent months, including a £4.7 billion approach which was rebuffed in May.
On Tuesday, Hargreaves Lansdown confirmed it has received the latest non-binding proposal from the consortium, which includes Luxembourg-based private equity firm CVC, Nordic Capital and Platinum Ivy – a subsidiary of the Abu Dhabi Investment Authority.
The proposal values the FTSE 100 company at 1,140p per share, which includes a 30p annual dividend for investors.
The board has confirmed to the consortium that the revised possible cash offer is at a value that the board would be willing to recommend unanimously to Hargreaves Lansdown shareholders, should a firm intention to make an offer ... be announced
“The revised proposal is subject to a number of pre-conditions, including completion of satisfactory due diligence and agreement of definitive transaction documentation,” Hargreaves Lansdown said.
“The board has confirmed to the consortium that the revised possible cash offer is at a value that the board would be willing to recommend unanimously to Hargreaves Lansdown shareholders, should a firm intention to make an offer … be announced.”
Regulators have now extended the deadline for the consortium to confirm if it will make a firm offer until July 19.
Hargreaves Lansdown said: “There can be no certainty that any firm offer will be made for Hargreaves Lansdown, nor as to the terms on which any firm offer might be made.”
Shares in the company were 5.2% higher on Tuesday afternoon.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.