Shares in Animalcare Group (AIM:ANCR) surged 35% to 333p after the animal health company agreed terms on a recommended £235.2 million takeover by private equity firm Charterhouse Capital Partners.
The offer of 336p per share represents a 36% premium to Animalcare's closing price of 247p on 15 April.
Animalcare develops and commercialises products for companion animals, equine and production animals, with around 165 pharma brands across multiple markets and therapeutic areas spanning pain management, anaesthetics, fluid therapy and dental products.
Charterhouse partner Haitham Nasri described Animalcare as "an attractive business with unique characteristics as a global animal health pharmaceuticals platform" and said the firm intended to accelerate research and development investment and pursue acquisitions.
Animalcare chair Ed Torr said the offer provided shareholders with "immediate value certainty in cash at an attractive premium," adding that delivering the company's long-term growth ambitions as a standalone business would require sustained investment over several years against a backdrop of increasing macroeconomic uncertainty.