Hotel Chocolat Group PLC (AIM:HOTC) has agreed to be taken over by confectionery group Mars in a deal worth £534 million on a fully diluted basis.
The upmarket chocolatier said the cash offer values each share at 375 pence, a premium of 169.8% to Hotel Chocolat’s share price of 139p at the close of business on 15 November.
Hotel Chocolat’s directors have said they consider the terms of the deal “to be fair and reasonable”.
Chief Executive Angus Thirlwell said: “We know our brand resonates with consumers overseas, but operational supply chain challenges have held us back.
“By partnering with Mars, we can grow our international presence much more quickly using their skills, expertise and capabilities.
“In Mars we have found a true meeting of minds - in strong cultural values, bold strategy and true long-termism,” he added.
Mars said it has “long admired” Hotel Chocolat's impressive credentials as a contemporary, premium brand with a differentiated product offering.