DCC Energy Agrees to £5.75bn Takeover by KKR and ECP
The company's board recommended the offer, but its founder and major shareholders object.
Trust 60Craft 71Hype 45How this was reported ▾
Reporting includes named sources, figures with origins, and specific dates, but lacks independent outlet corroboration.
How well corroborated and evidenced the reporting is. Higher is better.
The article explains why the story matters, quotes affected parties, and separates fact from comment.
Context, balance and separation of fact from comment. Higher is better.
The headline is lively but the article's substance is well-supported by the reporting.
How far presentation runs ahead of substance. Lower is better.
2 sources assessed · methodology
DCC Energy, a significant player in the supply of liquid gas and fuels across Europe and the United States, has agreed to be acquired in a £5.75bn deal. The agreement sees US private equity groups KKR and Energy Capital Partners poised to take control of the company. The board of DCC Energy has advised its shareholders to accept the offer.
Shareholder Objections Surface
Arsenal Pursue Bruno Guimaraes Amid Newcastle Rejections
Newcastle United has rejected multiple offers from Arsenal for midfielder Bruno Guimaraes, who is reportedly open to a move.
Despite the board's recommendation, the proposed takeover has met with significant opposition. Jim Flavin, the founder of DCC Energy and a major shareholder, has voiced strong objections. Mr Flavin stated he was "astounded" by the board's support for the deal, which he believes does not reflect the company's true worth. He pointed to the company's 2022 strategy, which aimed to double operating profits to £830m by 2030, suggesting the current offer is inadequate.
Other substantial shareholders, including pension companies Aviva and Fidelity, have also expressed concerns. Matt Bennison, head of UK active equities at Aviva Investors, indicated that the offer would be a "bad outcome for shareholders" and that Aviva would not support the deal if the board recommended it. He further stated that the increased offer was "unsurprisingly not enough" and not in the interest of their clients to sell at the proposed level.
Deal Structure and Valuation
Burnham launches £31bn submarine programme phase
New contracts worth £8.4bn to support 18,000 extra jobs in nuclear defence by 2030.
The cash offer from the private equity consortium amounts to £65.25 per share. This figure is reported by The Guardian to be 36% higher than DCC Energy's average share price over the three months preceding the public announcement of takeover talks. The board of DCC Energy stated that the offer provides a "compelling and certain opportunity" for shareholders to "realise value in cash today". The offer was enhanced with an additional £1.25 per share sweetener, contingent on the sale of DCC's technology division, Nexora, achieving a specific price.
The agreement for DCC Energy to be taken private adds to a trend of UK-listed companies being acquired by private equity firms. Other recent examples include Mitie, Tate & Lyle, and the owner of William Hill, Evoke. The budget airline easyJet is also reportedly subject to a potential £5.7bn offer.
Barnet Press News Desk
This article was written at the Barnet Press news desk from the reporting of the outlets listed below it. Drafting is done by a language model under human editorial supervision — there is no reporter behind this byline, and we would rather say so than invent one.
How stories are produced and scoredWho runs Barnet PressCorrections
More Coverage in World
Arsenal Pursue Bruno Guimaraes Amid Newcastle Rejections
Burnham launches £31bn submarine programme phase
Greater Manchester Mayoral By-Election Underway
