Withdrawal of proposal by Amec plc

12 September 2013: The Board of Kentz Corporation Limited (the "Company", "Kentz") notes the announcement made this morning by Amec plc ("Amec") that it is no longer considering an offer for the Company.

As previously indicated in our announcement on 19 August 2013, following receipt of the approaches from Amec and M+W Group GmbH ("M+W"), the Company together with its advisors undertook a detailed evaluation of the proposals before rejecting these approaches on the basis that they undervalued the business and its future prospects.

Throughout the offer period, the Company has been open to discussions in the event that Amec (or any other interested party) put forward a proposal which properly reflected the long-term value of Kentz. Furthermore, the Company also consulted with its major institutional shareholders during the period following the publication of its interim results and has carefully considered their views.

Since its announcement of 19 August 2013, Kentz can confirm that it received no further proposals from either Amec or M+W.

Christian Brown, Chief Executive Officer of Kentz said:

"I would like to take this opportunity to reiterate our focus on delivering value to our shareholders. Naturally, while we have every confidence in our ability to deliver further value to our shareholders as an independent company, the Board fully understands its responsibilities to all our shareholders."

The Company remains in an offer period following the approach by M+W. In accordance with Rule 2.6(a) of The City Code on Takeovers and Mergers (the "Code"), M+W is required, by not later than 5.00 p.m. on 16 September 2013, to either announce a firm intention to make an offer for Kentz in accordance with Rule 2.7 of the Code or announce that it does not intend to make an offer, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies. This deadline can be extended with the consent of the Panel in accordance with Rule 2.6(c) of the Code.

A copy of this announcement will be available at www.Kentz.com.


The content of the website referred to in this announcement is not incorporated into and does not form part of this announcement. 
 
Ends

For further information, please refer to the Kentz website www.Kentz.com or contact:

Kentz Corporation Limited

Investors: Ronan Tyrrell
Tel: +44 (0)20 3159 4004

Media: Paul Youens
Tel: +44 (0)20 3159 4003

Tavistock Communications
Tel: +44 (0)20 7920 3150
Simon Hudson
Mike Bartlett
Emily Fenton  
 
About Kentz

Kentz is a global engineering specialist solutions provider, which serves a blue-chip client base in the oil and gas, petrochemical and mining and metals sectors. It is listed on the London Stock Exchange (symbol: KENZ). In the year ended December 2012, the company generated revenues of US$1.56 billion and profit before tax of US$104.8 million. 

Kentz has over 14,500 employees in 30 countries. Its three main business lines are; engineering, procurement and construction (EPC) services; construction; and technical support services. Kentz delivers mechanical, electrical, controls and instrumentation engineering, construction and management services safely and on time throughout the world, including in some of the most remote locations on earth. 

 

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