Suitors up their offer to £868m for Shawbrook

Private equity firms Pollen Street Capital and BC Partners have increased their takeover offer for challenger bank Shawbrook to £868 million from the £825m they bid three months ago.

Shawbrook, a specialist in smaller business lending, had urged shareholders to reject the earlier offer, worth 330p a share. But now they have until 19 June to decide whether to to accept the new offer worth 340p.

Lindsey Mcmurray of Pollen Street Capital and Cedric Dubourdieu of BC Partners said: “After carefully considering market feedback we are pleased to be able to make an improved best and final offer, which we consider offers shareholders an attractive premium and compelling value.

“We continue to share the Shawbrook management team’s vision and look forward to working with them in the future to build on the company’s strong foundations as a specialist lender.”