IWG suitors get deadline extension as Prime Opportunities drops out

IWG said on Monday that its suitors - TDR Capital, Terra Firma and Starwood - have been given more time to make an offer for the serviced office group.

There had been four suitors in the game, but Prime Opportunities dropped out over the weekend. The other three now have until the end of play on 7 August to either announce a firm intention to make a bid or walk away. The previous deadline was 21 July.

Other recent potential suitors that dropped out of the chase for IWG, formerly Regus, include Lone Star Europe, Brookfield Asset Management and Onex Corp.

"A further announcement will be made when appropriate. There can be no certainty that any offer will be made for the company, nor as to the terms on which any offer might be made," IWG said.

Peel Hunt said: "Three is enough for competitive tension, albeit not been helped by the earnings downgrade a fortnight ago. We continue to see upside to 320-350p in the event of a bid and downside to below 230p in its absence."

At 0810 BST, the shares were flat at 301.50p.