UK builders Countryside Partnerships and Vistry close to $3.2bn merger deal -WSJ

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September 4 (Reuters) – British builders Countryside Partnerships (CSPC.L) and Vistry Group (VTYV.L) are set to strike a deal to form a $3.2 billion residential developer, suggesting a win for the American activist fund Browning West, the Wall Street Journal reported on Sunday.

The deal, in which Vistry is expected to pay primarily for shares for its counterpart, could be announced as early as next week, the report said, citing people familiar with the matter.

Countryside, Vistry Group and Browning West did not immediately respond to a request for comment from Reuters outside of business hours.

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In June, Browning West – Countryside’s largest shareholder – urged the board to carry out a strategic review of the group, saying it would perform better as privately owned or as part of a larger business. large after the board’s actions resulted in “significant destruction of shareholder value”. Read more

Countryside later said it was putting itself up for sale amid mounting pressure from shareholders after it rejected a $1.9 billion offer from San Francisco-based investor Inclusive Capital. Read more

The London-listed company underwent a senior management reshuffle after its boss resigned earlier this year. In April, it warned of a drop in annual profits after a business review flagged several issues, including costly expansions and manufacturing losses, sending its stock price to its lowest level in five years. year.

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Reporting by Shivani Tanna in Bengaluru; Editing by Mark Porter and Tom Hogue

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