Finsbury Food shares surge on sale to DBAY

Shares in Finsbury Food Group surged by a fifth on Wednesday after agreeing to a £143.4m takeover by asset management firm DBAY.

Finsbury shareholders will get 110p a share in cash, a premium of 23.6% to the stock's Tuesday closing price of 89p.

“The Finsbury board has carefully reviewed the terms of DBAY's cash offer, and believes it provides shareholders with an accelerated, de-risked opportunity to realise their investment in full and in cash at an attractive premium to both the current share price and the long term weighted average share price,” said non-executive chairman Peter Baker.

Reporting by Frank Prenesti for Sharecast.com