DTZ was yesterday evening forced to put out a statement to the Stock Exchange after its share price plummeted by 22% to a low of 24p in trading on Tuesday.
The property services firm, which is in a takeover offer period, said it was “not aware of the reason for the fall”.
It also formally responded to press speculation that one of its main lenders, RBS, is lining up accountant Ernst & Young to provide strategic advice on options for its £87m of debt.
The statement from DTZ said: “DTZ notes press reports regarding discussions with Royal Bank of Scotland plc (“RBS”).
“As stated in the company’s published accounts, RBS is the principal provider of debt facilities to the company. The company values its long-standing relationship with RBS and continues to be in regular dialogue with RBS and its advisers in the normal course of business.”
In regards to takeover talks, which are ongoing with a number of parties including its majority shareholder, Saint George Participations, it said it “continues to be in an offer period and is also continuing to evaluate alternative strategic options in the event that a satisfactory offer is not received”.
Shares closed at 26.5p on Tuesday having started the week at 35p.
bridget.oconnell@estatesgazette.com
