Marshall Motor backs £325m takeover by Constellation

Constellation offered 400p a share for Marshall on 29 November. The company said on Monday that the offer was "fair and reasonable" and the board will be recommending that shareholders accept it.

"In particular, the board of MMH has taken into account statements made by Constellation regarding its intention to work with MMH's manufacturer brand partners for a long term partnership and for MMH to continue to grow. The board also notes that Constellation itself has longstanding strategic business relationships with a number of automotive manufacturers in both the UK and Europe," Marshall said.

"In addition, the board has noted Constellation's statement that it has no intention to make any changes to the conditions of employment or the balance of the skills and functions of MMH employees or management. The board also notes the statement made by Constellation in the offer announcement that it is looking forward to working with the employees at Marshall to build on their success and progress to date."