EQT's $11 billion takeover proposal for Intertek rejected as FTSE 100 testing and certification group defends standalone strategy
Intertek Group, the FTSE 100 testing, inspection and certification business, has rejected a takeover approach from EQT, the Swedish private equity firm, valuing the company at approximately $11 billion. Intertek's board concluded that the proposal undervalued the business and that its standalone strategy offered superior long-term value for shareholders. The approach follows a period of significant PE interest in high-quality business services platforms with recurring revenue and defensive characteristics — exactly the profile that Intertek presents as one of Europe's leading quality assurance operators. EQT has been active in carving out and scaling business services assets across Europe, and the approach to Intertek fits a broader pattern of large-cap PE buyout attempts targeting listed UK and European industrials. Under the City Code on Takeovers and Mergers, EQT now faces the standard put-up-or-shut-up timeline following the public disclosure of a rejected approach, meaning it must either table a formal offer or walk away within 28 days unless Intertek's board consents to an extension. Intertek is listed on the London Stock Exchange and any formal bid would require FCA-regulated disclosure processes and likely CMA (Competition and Markets Authority) review given the breadth of Intertek's UK operations across consumer goods, chemicals and infrastructure testing. The rejection keeps the M&A dynamic live, and the board's public defence of its standalone strategy will now be tested against shareholder sentiment.
Why this matters
A rejected approach to a FTSE 100 target triggers the full architecture of UK public M&A: Rule 2.6 put-up-or-shut-up obligations, potential Rule 24 offer document requirements if EQT proceeds, and board fiduciary duties to engage or rebuff. The deal activates public M&A, leveraged finance (an $11 billion PE buyout would require significant debt financing in a market where direct lending spreads are widening), and regulatory clearance work. The 'why now' dynamic is structural: PE firms are sitting on large pools of uncommitted capital (known as 'dry powder') while IPO exits remain thin, pushing sponsors toward large-cap take-privates of quality listed assets. EQT's approach reflects the persistent valuation gap between PE's view of intrinsic value and public market pricing of industrial services businesses.
On the Ground
On a public M&A matter of this type, a trainee would maintain the CP (conditions precedent) checklist tracking regulatory filing deadlines under the Takeover Code, draft board minutes recording the rejection decision, and assist with the disclosure letter process if due diligence were ever granted. They would also index incoming due diligence materials and track the Rule 2.6 deadline calendar.
Interview prep
Soundbite
Rejected FTSE 100 bids lock PE sponsors into a 28-day put-up-or-shut-up clock — EQT must now decide fast.
Question you might get
“If EQT decides to proceed with a formal offer, what regulatory hurdles would it face in the UK, and how might Intertek's board mount a defence?”
Full answer
Intertek has publicly rejected an approximately $11 billion takeover approach from EQT, triggering the City Code's put-up-or-shut-up mechanism. This matters because it keeps a major public M&A process live: EQT must either table a firm offer or withdraw within 28 days, meaning lawyers on both sides need to mobilise quickly across public M&A, leveraged finance, and regulatory clearance. The approach reflects a broader PE trend of targeting high-quality FTSE-listed business services companies whose public valuations PE sponsors view as discounted relative to private market equivalents. This suggests the wave of large-cap UK take-private activity that defined 2024-25 has not yet run its course, which will sustain public M&A advisory volumes well into H2 2026.
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