Deal terms and valuation
EQT has agreed to buy Intertek Group via a newly formed acquisition vehicle, Isotope Bidco, in a cash transaction that places a total value on the company of approximately 9.5 billion when a previously declared dividend is included.
Under the terms announced, Intertek shareholders will receive A360 in cash per share and will retain the planned final dividend for fiscal 2025 of 107.7 pence per share. That combination produces a total offer value of A361.077 per Intertek share.
Premiums relative to recent trading
The cash element of the offer represents a 59% premium to Intertek's closing price of A337.70 on April 9 - the last business day before EQT made its initial approach. It equates to a 61% premium to the one-month volume-weighted average closing price ended April 9, and a 38% premium to the company's closing price of A343.63 on April 13 - the last business day prior to the offer period opening.
When the retained FY25 dividend is factored in, those comparisons become premiums of 62%, 64% and 40%, respectively.
Overall company value and board view
The cash proposal values Intertek's issued and to-be-issued share capital at around A39.3 billion; including the dividend, the total valuation rises to roughly A39.5 billion. Intertek's board said it intends to recommend the transaction unanimously to shareholders.
The board received financial advice that the terms are "fair and reasonable" from Goldman Sachs, J.P. Morgan Cazenove and PJT Partners, the companies said.
Process and approvals required
EQT and Intertek said the acquisition is expected to be effected through a court-approved scheme of arrangement under the UK Companies Act. Before the deal can complete it must obtain shareholder approval, court sanction and any necessary regulatory clearances.
Background on discussions and strategic review
Intertek initiated a strategic review on April 14 to consider splitting its Products and Trade business from its Health and Assurance operations. The company said it received an initial proposal from EQT on April 10, followed by further proposals, and that EQT submitted a final non-binding proposal on May 12.
Statements from management and buyer
EQT described Intertek as a leading business in the global assurance, testing, inspection and certification sector and said it plans to support the company's growth through investment, innovation, digitalisation and artificial intelligence initiatives. EQT partner Matthias Wittkowski commented: "We are delighted to have reached an agreement to acquire Intertek." He added that EQT saw opportunities to "accelerate its growth as the industry adapts and is transformed by digitalisation and AI."
Intertek chief executive Andr E9 Lacroix said: "This offer represents an attractive opportunity for Intertek shareholders by delivering cash certainty today, and we are confident that Intertek will continue to thrive in the industry."
Timeline expectations
The firms indicated that shareholder meetings to vote on the scheme are expected to take place by August 6. If approvals and clearances proceed on the anticipated schedule, the transaction is expected to become effective in either the fourth quarter of 2026 or the first quarter of 2027.
Market context included in the announcement
The announcement included data showing relative premiums and valuation metrics that underpin the deal price. Beyond the bid pricing, the companies reiterated that the completion of the acquisition remains contingent on the standard legal and regulatory procedures for a scheme of arrangement.