Candover takes dive on takeover letdown

Shares in up-for-sale private-equity backer Candover Investments were on the slide today after hopes of an imminent takeover disappeared.

The stock rose sharply yesterday on word that Eurazeo, a top French investment house listed in the Paris bourse's top 40 companies, could be about to launch a 450p takeover.

That speculation forced Candover to put out a statement that no such deal is imminent, sending the shares off 261/4p to 3633/4p from last night's two-month high. In autumn the shares changed hands at more than £20 a time.

Candover, whose private-equity investments include the highly-indebted Gala Coral bingo and bookies group, said it has "received indicative proposals covering a range of options for the business, including but not limited to offers for the company".

It added "discussions with a number of interested parties to clarify their indicative proposals" are taking place.

Interested parties are said to include Coller Capital and US private-equity firms Blackstone and Paul Capital.