(Bloomberg) -- ABC Technologies Holdings Inc., a Canadian auto parts maker, agreed to buy Britain’s TI Fluid Systems Plc for about £1 billion ($1.3 billion).
ABC, which is backed by alternative investment firm Apollo Global Management Inc., had made several previous offers for TI that were rejected. Bloomberg News reported earlier this week that the companies were nearing an agreement.
ABC agreed to pay 200 pence a share in cash, according to a statement, which represents a 37% premium to the closing price on Sept. 13, before the Canadian company’s interest emerged. The deal has an enterprise value of about £1.8 billion, the companies said.
The takeover adds to a wave of UK deals in recent weeks that have eased concerns about a slowdown in mergers and acquisitions under the Labour government.
TI Fluid rose as much as 2.4% to 193.8 pence in early London trading on Friday, taking gains for the year to more than 25%.
Oxford-based TI Fluid makes thermal and fluid systems solutions for vehicles and has a presence in 27 countries, its website shows.
Private equity firm Bain Capital is the largest shareholder and has been selling down its stake on the market since listing the company in 2017 at 255 pence a share — below the agreed takeover price.
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