Mitie Shares Skyrocket 39% After £3.1bn OCS Takeover Offer

Shares in Mitie Group (LON: MTO) surged this morning, rising as much as 38.7% to around 209.5p, after the facilities management group agreed to a recommended cash takeover by rival OCS Group International.

Under the terms announced today, OCS will pay 218.5p in cash for each Mitie share, plus Mitie’s final dividend of up to 3.1p for the year ended 31 March 2026 — taking the total acquisition value to as much as 221.6p per share.

That represents a premium of roughly 44.7% to Mitie’s closing price of 151.0p on 20 July, and values the group at approximately £3.1 billion on a fully diluted basis.

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The deal, structured as a Scottish scheme of arrangement, will combine two UK-headquartered facilities services businesses to create an “Enlarged Group” with combined revenues of about £8.5 billion, spanning government, defence, healthcare, infrastructure and commercial customers.

Mitie’s board has unanimously recommended the offer, with directors giving irrevocable undertakings covering roughly 1.2% of shares. Activist investor Oasis Management, which holds swap-based exposure to a further 9.9% of Mitie’s shares, has also committed to support the deal.

Mitie chairman Chris Rogers said the offer “recognises the strength of the business,” while chief executive Phil Bentley called it “an attractive outcome for shareholders.” OCS chief executive Rob Legge said the combination would create “a British facilities management group better positioned to support the organisations that keep the country running.”

Mitie is the latest in a string of London-listed companies to attract takeover interest, as private equity firms and foreign buyers increasingly target UK stocks seen as historically undervalued relative to international peers.

Persistently low valuations on the London market, and a wave of cash-rich acquirers have combined to make British companies attractive targets, fuelling a fresh round of M&A activity across the FTSE.

The transaction remains subject to shareholder and court approval, plus regulatory clearances, and is expected to complete in the first quarter of 2027.