Countrywide has today rejected a takeover bid from Connells at the price of 250 pence per share.

On 23 November, estate and lettings agent Connells said it had completed due diligence and reconfirmed its bid of £82m to buy Countrywide, which it claimed faces ‘significant risks’ as a standalone business. It said the offer was then subject only to board and shareholder support.

However, Countrywide said today that its board had unanimously rejected the offer and was continuing talks with private equity group Alchemy Partners about a potential cash injection.

“Following a thorough review of the possible cash offer with its advisers, the board has unanimously rejected the possible cash offer,” Countrywide said.

It added that Alchemy has indicated it may offer an equity raising opportunity, allowing existing shareholders to sell Countrywide shares at 250p per share.

Countrywide said: “The revised Alchemy proposal would enable shareholders who wish to realise their investment in Countrywide to sell their shares to Alchemy Partners, whilst also enabling those shareholders who continue to believe in the potential of Countrywide to retain their existing stake and, if they choose, invest further capital.”

The company said it “remains committed to engaging with all major shareholders to examine all potential options, including (but not limited to) the revised Alchemy proposal and a capital raise from existing shareholders”.