Construction materials supplier BRCK soars after rejecting Atlas takeover proposal (updated)
31/03/2026 09:14
BRCK board unanimously rejects Atlas's 65p per share cash proposal as undervaluing company Atlas doubts limited information from BRCK will allow it to confirm its proposal BRCK shares surge after rejection but remain down 27% this year amid UK construction slump Updates with Atlas's response in paragraph 3, deadline to make offer in paragraph 7 March 31 (Reuters) - BRCK Group BRCK.L shares jumped more than 24% on Tuesday after the UK construction materials supplier said it rejected last week a 65 pence‑per‑share takeover approach from U.S. private equity firm Atlas Holdings. The group said its board unanimously rejected the non‑binding cash proposal on March 23, saying it fundamentally undervalued the company. Atlas said BRCK’s board plans to provide only limited extra information and that, while it will review whatever is shared, it is doubtful such minimal detail will allow it to confirm its proposal. The proposal would have valued BRCK, which distributes bricks, roofing, tiles and other construction products, at about 209.4 million pounds ($276.37 million), according to LSEG data. First made in February, the approach has added BRCK to a growing list of London‑listed companies drawing interest from overseas buyers seeking to take advantage of relatively low UK equity valuations. The private equity firm, which bought banknote printer De La Rue in 2025, has until April 28 to make a firm offer for BRCK under UK takeover rules. Atlas now has until April 28 to announce a firm intention to make an offer or walk away. BRCK shares were up nearly 32% at 0754 GMT, having lost nearly 27% so far this year amid a prolonged downturn in the UK construction market, one of the sector’s weakest periods since the 2008 global financial crisis. ($1 = 0.7577 pounds) (Reporting by Raechel Thankam Job and Ankita Bora in Bengaluru; Editing by Subhranshu Sahu and Nick Zieminski) ((RaechelThankam.Job@thomsonreuters.com;))