Outsourcer Mitie cuts backs on Interserve deal consideration

Nov 4 (Reuters) - Outsourcer Mitie Group said on Wednesday it would now issue fewer shares to buy rival Interserve’s support services arm, lowering the deal value to 190 million pounds ($274 million), while saying its board does not plan to declare an interim dividend.

The British company said it cut the share consideration by 31%, or 110 million shares, from the terms announced in June and that Mitie’s existing shareholders will now hold 82.5% of the combined group.

Separately, Mitie’s second-quarter revenue was up 12% sequentially. ($1 = 0.7702 pounds) (Reporting by Pushkala Aripaka in Bengaluru; Editing by Shailesh Kuber)


Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time.

Sign up for a free trial of our full service at and follow us on Twitter @Breakingviews and at All opinions expressed are those of the authors.