DCC Energy to go private after agreeing £5.75 billion takeover

DCC Energy has agreed a £5.75 billion takeover by a consortium of investors as swoops for London listed firms continue at pace.

FTSE 100 firm DCC, which is headquartered in Dublin, Ireland, said its board had given its backing to a bid from private equity giant KKR and Energy Capital Partners worth up to 6,796.22p in cash and dividend payments.

Russ Mould, investment director at AJ Bell, said: “Another day brings another raft of takeover and acquisition activity in the UK stock market.

“US private equity giants KKR and Energy Capital look to have finally won over the board of FTSE 100 constituent DCC Energy with the upgraded offer they tabled on 16 July.

“The Irish company’s board has now recommended the bid, which includes £65.25p a share in cash, a dividend payment of 147.22p per share and could come with a further 125p a share, contingent upon the proceeds raised from the sale of the target’s technology division.

“The £65.25p cash offer comes to £5.6 billion and means DCC Energy is the recipient of one of 11 £1 billion-plus bids tabled in the UK market this year.”