Intertek bows to investor pressure as EQT seals £10.9bn takeover after four-month pursuit

Intertek, the London-listed product testing company, has finally capitulated to a £10.9bn takeover by the Swedish private equity group EQT, bringing to a close a four-month stand-off that saw three earlier bids rejected and the company's board subjected to intensifying investor demands to negotiate. The £61.08 per share cash-and-dividend offer, which values Intertek's equity at £9.5bn, was confirmed by both parties on Thursday after months of talks that at times appeared close to collapse.

The deal represents Britain's third-largest take-private transaction on record, trailing only the acquisitions of BAA, the airport operator, in 2006 and Alliance Boots, the pharmacy chain, in 2007, according to data compiled by LSEG. The cash element of EQT's offer amounts to a 40 per cent premium on Intertek's closing price on April 15, the day before the Swedish firm's initial approach was made public.

EQT had submitted four separate bids for the British group since mid-April, starting at £51.50 per share, rising to £54 and then £58, all of which were rebuffed by Intertek's management as it explored an alternative plan to split itself into two standalone businesses. However, a growing chorus of shareholders — including Palliser Capital, PrimeStone Capital, and Lost Coast Collective, an investment vehicle founded and run by Matthew Peltz, the son of the activist investor Nelson Peltz — urged the board to engage seriously with the Swedish suitor.

Speaking on condition of anonymity, sources close to the negotiations indicated that Intertek's resistance had begun to erode as the prospect of a prolonged break-up process and uncertain market reception weighed on directors. The company's board eventually bowed to investor pressure, concluding that the terms on offer represented a more certain outcome than the proposed demerger.

Morningstar analyst Ben Slupecki said the transaction made sense for Intertek, noting that the market had been undervaluing the group's assets before EQT's advances. By 1331 GMT on Thursday, Intertek shares had risen 1.5 per cent to £58.05, having gained more than 31 per cent since the first approach was disclosed. Nonetheless, the share price remains below the offer level, suggesting some residual caution among traders about the deal's completion.

James Smith, founder and chief investment officer of Palliser Capital, expressed satisfaction with the outcome. "We are pleased to see this deal agreed and believe it represents a positive outcome for shareholders," he said. A spokesperson for PrimeStone, which holds 0.5 per cent of Intertek, confirmed the firm intends to vote in favour of the acquisition, adding that the sector remains ripe for further consolidation.

The takeover adds to a growing roster of London-listed companies being acquired by foreign buyers, with merger and acquisition activity tripling to $192bn in the first four months of 2026 compared with the same period last year. Sovereign wealth funds from the Gulf have also taken a stake in the deal: the Abu Dhabi Investment Authority will become a minority Intertek shareholder with a 16 per cent holding, while Mubadala will take 8 per cent.

Morgan Stanley, Barclays and Deutsche Bank advised EQT on the transaction, while JPMorgan, Goldman Sachs and PJT Partners acted for Intertek. The deal, which values the company at approximately $14.5bn including debt, is expected to complete later this year, subject to regulatory and shareholder approval. Reports suggest that the "put up or shut up" deadline under UK takeover rules, which had been extended to 5pm on June 18, was the final catalyst forcing both sides to reach an agreement.