The Mouchel saga continues. And it seems the support services & BPO provider may be giving up on its fight to remain independent. This morning’s announcement states that Mouchel’s Board is in “advanced discussions” with one potential offerer. On January 21st, Mouchel announced that construction & engineering group, Costain, has approached it with a third offer, valuing the company at £170 million (see Costain – third time lucky for Mouchel?). It is unclear whether Costain is the "potential offerer" in question.
The appointment of debt refinancing specialist, Hawkpoint, at the end of last month, to advise on the sale of several non-core businesses (see Mouchel secures new funding, appoints M&A advisor) indicated that Mouchel was prepared to continue its painful restructuring plans in order to improve its financial shape. However, it’s not surprising that shareholders are being tempted by the promise of an easier way out of the Group’s financial difficulties. Whether Mouchel finds the right home in which to prosper though, remains to be seen.