View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
July 25, 2013

Baker Tilly UK looking to buy RSM Tenon

RSM Tenon said in a statement on the London Stock Exchange (LSE) that it is currently in discussions with Baker Tilly UK that may lead to the firm making an offer to buy RSM Tenon.

"The company has been providing certain information to Baker Tilly to facilitate their investment evaluation process," RSM Tenon said.

Since the announcement was made RSM Tenon share prices have gone down almost 35%.RSM Tenon said in the statement that its board, "considers that, if an offer is made, it is likely to be at a level which is significantly below the current market price of the ordinary shares of the company".

Baker Tilly now has until the 22 August to announce whether it is to buy the firm or not, according to rules that apply under the City Code on takeover and mergers.

RSM Tenon got into financial difficulty at the start of 2012 when it posted losses of £11.4$m due to insufficient cost savings and efficiency measures following the acquisition of RSM Bentley Jennison and certain assets of Vantis.

If Baker Tilly UK was to buy RSM Tenon it would more than double its existing revenues to just under £400m. This would put Baker Tilly UK neck to neck with Grant Thornton UK and BDO UK, which almost doubled its size following a merger with PKF UK earlier in the year.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A roundup of the latest news and analysis, sent every Wednesday.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to International Accounting Bulletin