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UK investors face fresh PE takeover threat

Fund manager says three holdings in particular are at risk from buyouts given the low valuations seen in London
UK investors face fresh PE takeover threat
  • Fund manager warns that UK companies look vulnerable to private equity bids
  • Currency woes and share price falls all play a role

The recent share price rout and sterling weakness leaves UK companies more vulnerable to takeover bids from private equity, the manager of the SDL UK Buffettology Fund (GB00BF0LDZ31) has warned.

Keith Ashworth-Lord has seen investors mull bids for two companies held by the £1.2bn fund in recent weeks. RWS (RWS) announced in April that the Baring Private Equity Asia Fund VIII was weighing up a takeover bid, while Homeserve (HSV) has been in talks with North American outfit Brookfield Infrastructure after receiving “a number of proposals” from the firm.

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