Harland & Wolff Group Holdings PLC (AIM:HARL) has seen a bid approach for Isles of Scilly Steamship Company Ltd rejected.
The British shipbuilding and fabrication company said it has been considering the opportunity to build and/or operate ferries to service the Isles of Scilly to Penzance route, which it believes is significantly underserved.
It believes there is a clear strategic, operational and financial rationale for the proposed acquisition and expressed disappointment that the approach had been rejected.
On Wednesday, after the London close, Isles of Scilly Steamship disclosed the bid approach which it “unequivocally rejected”.
It didn’t feel the proposal from H&W was in the best interests of the company's shareholders.
The Isles of Scilly Steamship Company operates the principal shipping service from Penzance, in Cornwall, to the Isles of Scilly, and also provides a year-round cargo service together with a seasonal passenger service in summer.
Harland & Wolff has said it would consider its options and under takeover rules has until 21 December to firm up a bid.