Schneider Electric has said it might move to buy FTSE 100-listed software company Aveva.
Following reports, the French business said it was considering bidding for the remaining shares in Aveva that it does not already own. Schneider holds around 60% of Aveva’s shares.
The group said today: “Schneider Electric confirms that it is considering a possible offer for the entire issued, and to be issued, share capital of the company not currently owned by Schneider Electric."
“No proposal has been made to Aveva yet and there can be no certainty that any offer will be made, nor as to the terms on which any offer will be made (should one be made).”
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Shares in Aveva soared by more than a quarter following the news.
Schneider now has until the close of play on September 21 to make a firm bid for the company or to walk away without making an offer.
It added: “Whether or not an offer is made, Schneider Electric remains committed to Aveva, to its agnostic and autonomous business model and to its employees.
“Schneider Electric believes that a full combination of Aveva and the software business of Schneider Electric will reinforce Aveva, and enable it to execute its growth strategy faster.”
Aveva owns LFM Software in Manchester, an Aveva Solutions office in Chesterfield, offices in Derry and London and a head office in Cambridge.
Meanwhile, Schneider called the UK one of its most important markets. It employs some 4,000 people across 14 sites, including ones in Coventry, Gateshead, Leeds, Plymouth, Scarborough, Swindon and Warrington.
Aveva said that it had seen Schneider’s statement, but it had not heard directly from the potential bidder.
It said: “No approach has been received by Aveva and Aveva notes Schneider Electric’s statement that there can be no certainty that any offer will be made, nor as to the terms on which any offer will be made (should one be made).
“Any such proposal, if and when received, would be evaluated by an independent committee of the board of Aveva, together with its advisers.”
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