United Kingdom: West Cumbrian brewer Jennings has seen share prices rocket following news that a takeover is looming, News & Star commented on April 13. On April 11 Wolverhampton & Dudley Breweries announced it could launch a £46 million bid for the company. Interest was already growing in the Cockermouth-based brewer following earlier rumours of a takeover.
Last week speculation was rife that Stockport-based brewer Robinson’s wanted to increase its growing share-holding in Jennings. Share prices started to creep up and by Sunday morning they stood at about 315p. But the next day, West Midlands brewer W&DB stepped in and confirmed its interest to the stock market. Following its announcement at 8am on Monday, share activity started to boom. They have been on the increase ever since, with the price this morning standing at 413.50p per share.
Although an official takeover has not yet been agreed, it is still very much on the cards. The West Midlands brewer has already reached a deal with Robinson’s to buy out its stake and has since been in talks with Jennings. W&DB is now taking a close look at the company before approaching the other shareholders directly.
A company spokeswoman said on April 13 that it will be two to three weeks until there is any further news. Jennings says it is business at usual in the meantime but staff at Castle Brewery face an anxious wait to find out if their jobs are secure. W&DB has hinted that it wants to retain the existing brewery and traditional Jennings brand.
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