Wincanton jumps as potential bidding war kicks off

Logistics firm Wincanton surged on Monday after CEVA Logistics, a unit of French shipping firm CMA CGM, sweetened its offer for the group to £604.7m, and following an approach from Clipper Logistics owner GXO Logistics.

CEVA lifted its offer by around 6.7% to 480p per share. This is a premium of around 62% to the closing Wincanton share price on 18 January.

Wincanton also said that it had received an approach from GXO and is providing access to due diligence in line with the takeover code.

"Although GXO has indicated that it is considering making a proposal for a cash offer, as of the date of this announcement, it has not provided the board of Wincanton with any formal proposal relating to a possible offer, including as to terms or price," the company said.

"If any such proposal is provided by GXO the board of Wincanton will carefully consider its terms, in conjunction with its advisers."

Wincanton said there can be no certainty that an offer by GXO will be made, nor as to the terms on which any offer might be made.

It continued to recommend unanimously the offer from CEVA logistics, insisting that "that recommendation has not been withdrawn, qualified or modified".

At 1420 GMT, the shares were up 11.6% at 501.26p.

Wincanton had not initially disclosed the name of the rival bidder, which was revealed by Sky News and later confirmed by the company.