Britain for sale: Foreign takeover offers soar

The value of foreign takeover bids for UK companies has risen by 79 per cent to £74billion so far this year, according to figures.

Offers targeting UK firms totalled £102billion in the first nine months of 2024, data from the London Stock Exchange Group (LSEG) revealed, with an increasing proportion coming from overseas.

The share of bids from abroad rose to 72 per cent – the highest level in three years – while the remaining 28 per cent involved domestic buyers.

Paper and packaging group DS Smith’s £7.3billion takeover by US firm International Paper is the biggest so far this year.

The figures also include the pending £4billion acquisition of Royal Mail owner International Distribution Services by Czech billionaire Daniel Kretinsky and the £3.8billion sale of cybersecurity firm Darktrace to US private equity firm Thoma Bravo.

It highlights the increasing attractiveness of relatively cheap UK stocks to global investors at a time when a frenzy over the tech sector has pushed Wall Street valuations to a succession of record highs.

But the trend has also added to fears about the diminishing status of the London market as a listing venue.

Lucille Jones, senior manager at LSEG Deals Intelligence, said the surge in UK takeover activity had been ‘driven by mega deals’.

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