Enodis accepts ITW takeover bid

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ITW said that it believed the offer represented "compelling value to shareholders".

The company also said that the takeover would "create an industry leader in food service equipment with an increased global product, marketing and manufacturing footprint".

ITW still needs to gain clearance from European and US anti-trust authorities in order to proceed with the deal. The company said it hoped to gain the necessary clearance no later than 4 November 2008.

David B. Speer, chairman and chief executive officer of ITW, said, "We believe that the combination of ITW Food Equipment and Enodis will create an expanded global food equipment platform with very complementary strategic, operational and geographical growth positions. The collective businesses will have a significantly enhanced product portfolio in addition to greater scale to compete even more effectively and successfully in the global food equipment industry."

Whilst, Peter Brooks, chairman of Enodis, said, "Following the announcement on 14 April of the recommended cash offer from Manitowoc, valuing each Enodis Share at 260 pence, the Board of Enodis has received a cash offer from ITW valuing each Enodis Share at 282 pence on a comparable basis. This higher offer underlines the regard which Enodis has built in the global foodservice industry.

"Having considered carefully all aspects of the offer from ITW, including transaction certainty, from an anti-trust perspective, and the higher price which this offer provides, the Enodis directors have decided unanimously to recommend the offer from ITW to shareholders."