UK retirement homes builder target of £1bn bid

The UK’s biggest builder of retirement homes backed a takeover offer worth more than £1bn (€1.4bn) today.

McCarthy & Stone said the approach from funds advised by Barclays Capital and private equity firm Permira represented a good deal for shareholders.

However, it also emerged today that another consortium had put a proposal worth almost £1.06bn (€1.5bn) to the McCarthy board on Sunday.

The rival move involved West Coast Capital, the private equity business headed by retail tycoon Tom Hunter, and compared with £1.03bn (€1.5bn) on the table from Permira.