TVH Group has confirmed it will not raise its bid to takeover Leicestershire powered access business Lavendon.

The Belgian group had previously been engaged in a bidding war with French firm Loxam to acquire the company, with the offer price rising from 205 pence per share to 270 pence per share offered by Loxam.

TVH has now revealed it will not increase upon its 261 pence per share offer and the Lavendon Board has unanimously recommended its shareholders to accept the Loxam offer

John Standen, Chairman of Lavendon, said: "Loxam has recognised the inherent value in our business and we believe that its all-cash offer provides Lavendon's shareholders with an opportunity to realise significant value at an attractive premium to the pre-offer period share price, whilst securing early delivery of Lavendon's potential against a backdrop of macroeconomic uncertainty. This is why the Board of Lavendon are recommending Loxam's offer."

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Gerard Deprez, President of Loxam, added: "Throughout this process, we have reaffirmed our belief on the benefits of combining our strong and complimentary businesses and have been delighted to receive the recommendation of the Lavendon Board at each stage.

"We believe the transaction will anchor Loxam as one of the leading worldwide access equipment rental companies, will reinforce Loxam's leadership in the European equipment rental market and represents a unique opportunity to increase its scale and business profile. We look forward to working with the highly skilled Lavendon team to further build up the combined business."

(LM)