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Transport

Melrose to cancel GKN's shares in London after winning takeover battle

Melrose received acceptances for its offer from shareholders who hold about 81.8% of GKN on Monday

Melrose Industries PLC (LON:MRO) is set to cancel GKN PLC’s (LON:GKN) shares in London after shareholders approved its hostile takeover of the aerospace and automotive engineer.

The turnaround specialist said it received acceptances for its offer from shareholders who hold about 81.8% of GKN on Monday.

READ: Melrose declares narrow victory in bitter battle to takeover GKN with acceptances of 52.43%

It expects the share cancellation to take place around May 21 after the offer has been declared wholly unconditional by April 19.

READ: Government reviews Melrose's hostile takeover of GKN amid calls to block deal

In March, Melrose won its takeover battle for GKN after receiving acceptances from 52.3% of the engineer’s shareholders.

The government is now reviewing whether the deal raises security concerns, given GKN's work with the UK Ministry of Defence.

In early afternoon trading, GKN shares were 2.6% higher at 461.9p.

-- Adds share price --

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