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On Thursday, the UK’s largest property group, Countrywide PLC (LON: CWD) said it has agreed to be taken over by Connells Limited in a deal worth approximately £223.1 million.

The deal will see Connells pay Countrywide 395p per share, a 172% premium on Connells' first bid for the company.

Shares of Countrywide have risen over 12% on the news, they are currently trading at 389.2p.

LON: CWD

“This significantly improved offer from Connells allows Countrywide Shareholders to realise their investment in cash at a price that fairly values the opportunities and risks of the business,” commented David Watson, acting non-executive chairman of Countrywide.

“We are pleased to recommend this offer, which is supported by our major shareholders, and puts the Company on a stronger footing, securing the future of the business, its customers and its employees,” Watson added.

Back in November, Connells made its initial bid for the company at 250p per share. However, it was rejected, and other interested parties caused Connells to raise its bid in early December.

Under the terms of the acquisition, the deal needs to be approved by at least 75% of Countrywide shareholders. They stated that they have so far received written confirmations of support from 51% of shareholders.

The deal is expected to go ahead in the first quarter of 2021.

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