Michael Page rejects Adecco interest

Michael Page International today said it had rejected rival Adecco’s attempts to buy the company with a deal valuing the business at £1.3bn (€1.64bn).

The recruitment firm said Adecco’s advances “materially undervalued” the company and that it had now ended discussions with the group.

Swiss firm Adecco first approached Michael Page in early May, putting forward a proposal to buy the firm at 400p-a-share, valuing the firm at £1.3bn (€1.64bn).

Michael Page rebuffed its initial potential offer, but Adecco lodged a revised proposal earlier this week to become a majority shareholder, by buying a stake of at least 50.1% at a price that was “consistent” with its initial 400p a share price.

However, Michael Page said the second proposal also undervalued the group, adding the structure was unattractive for shareholders because they would become minority shareholders in a company controlled by Adecco.

It added: “Although further talks have taken place with Adecco and its advisers, Adecco has not increased the level of its offer. Accordingly, the board of Michael Page announces that it is ending discussions with Adecco.”