Desmond increases share in Barlo

Dermot Desmond, has increased its stake in management buyout (MBO) target Barlo to 14.8%.

Yesterday it emerged that his company, IIU Nominees, was the buyer of two million shares in the radiator and plastics group that were sold on Wednesday at a price of 42c.

On February 10, Barlo's independent directors said they would be recommending a 40c per share cash offer from a management team led by chief executive Tony Mullins.

The offer valued the company at around €70m.

If Desmond wants to prevent the sale he needs to own 20% of shares in the company.