Redrow withdraws Bovis takeover offer

Redrow has withdrawn its takeover offer for fellow housebuilder Bovis.

The Flintshire-based company, whose share and cash offer was rejected by Bovis earlier this month, said it would not return with a higher offer.

It said it had pulled out because it was "not in its shareholders' best interests to increase its proposal" and would now focus on its growth strategy.

Bovis has also rejected an all-share takeover bid from Galliford Try, but has continued talks with them.

Redrow added that its "strong land bank and disciplined approach to operations" had put it in a good position to continue to increase its profits.

The chief executive of Bovis, David Ritchie, quit in early January after eight years in the job after the company issued a profit warning.

It had suffered customer complaints over the poor quality of its homes, which were sold unfinished and were hit by electrical and plumbing faults.

In February, Bovis announced that its annual pre-tax profits had fallen 3% to £154.7m.