Melrose seals Dynacast sale

ENGINEERING buy-out specialist Melrose yesterday completed the sale of its Dynacast business to an American consortium for £373 million, triggering a payout for investors and highlighting what analysts branded as Melrose's confidence in bidding for Charter International.

Charter, which owns Renfrew-based engineering firm Howden, has already rejected two takeover approaches from Melrose.

Evolution analyst Harry Philips said: "The announcement highlights Melrose's exceptional performance and its confidence in its bid for Charter. Melrose is an undervalued stock in its own right and becomes even more so if it gets Charter."