Good morning. The board of the defence group Ultra Electronics have said that they are likely to accept a new £2.6 billion takeover bid from the private equity-owned rival Cobham.
Ultra has announced this morning that Cobham has made a new bid worth £35 per share in cash after other proposals, including an initial offer of £28 per share, were rejected.
Ultra said it was minded to recommend the bid to shareholders “subject to consideration and satisfactory resolution of other terms and arrangements, including the establishment of safeguards for the interests of Ultra’s stakeholder groups”. It added: “In relation to this, Cobham has indicated to the board that it is minded to offer the UK government appropriate undertakings in respect of national security.”
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