Home builder Bovis Houses has rejected two potential presents for the agency from rivals within the sector.
The corporate mentioned it had turned down the separate approaches from Redrow and Galliford Attempt, however that talks with the latter proceed.
Redrow instructed a share and money deal, and Galliford Attempt an all-share supply.
However Kent-based Bovis rejected each of the approaches on the grounds that they didn’t replicate the “underlying worth of the Bovis enterprise”.
It mentioned: “The board additionally concluded that the Redrow proposal was not within the pursuits of Bovis shareholders because the money aspect of the supply would require shareholders to crystallise worth on the present Bovis valuation.”
The corporate added: “Redrow subsequently indicated that it was not keen to enhance the phrases of its proposal and discussions had been terminated. Discussions with Galliford Attempt are ongoing.”
Shares in FTSE-250 agency Bovis had been at 828p at shut of inventory market buying and selling on Friday, valuing the agency at about £1.1bn.
Fellow FTSE-250 member Galliford Attempt is price roughly £1.3bn.
Final month Bovis mentioned it had put aside £7m to compensate clients who had been bought homes that had been unfinished and had electrical and plumbing faults.
The home builder mentioned then that the experiences of a big variety of clients “fell under the excessive requirements they rightly anticipated”.
Bovis noticed pre-tax earnings for final yr fall three% to £154.7m.
The FTSE 250 agency is and not using a chief govt at current and is led by chairman Ian Tyler.
In January David Ritchie stepped down as chief govt after eight years within the function, weeks after a warning over earnings.