By Scott Kanowsky
Investing.com -- Shares in Pendragon PLC (LON:PDG) jumped by more than a fifth on Monday after the British car dealer said it had received a takeover offer worth £400 million from its largest shareholder, Sweden's Hedin Mobility Group.
In a statement, the company - whose brands include Stratstone and Evans Halshaw - said the 29-pence per share bid was "unsolicited, preliminary and highly conditional." The firm added that it is considering the proposal with its financial and legal advisers.
"There can be no certainty that any firm offer will be made, nor as to the terms on which any firm offer might be made. A further announcement will be made if and when appropriate," it said.
According to Pendragon, Hedin will now be required to announce whether it will or will not make an offer by October 24, although this deadline could still be extended.
Hedin, the vehicle showroom operator which already owns about 26% of Pendragon, has recently been an outspoken critic of the group's leadership, Sky News reported.