Shares in Spotless Group rise on reports of takeover

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Industrial services company Spotless Group says it has not received any new private equity takeover proposal.

According to a report in The Australian Financial Review, private equity fund Pacific Equity Partners is finalising a take-over proposal for Spotless Group, and intends to notify the Spotless board of an offer within days.

Spotless has noted the report, saying on Tuesday it has not received any such proposal.

Its shares opened significantly higher, up nine cents, or 3.8 per cent, at $2.44 at 1011 AEDT.

An offer from Pacific Equity Partners would be the second private equity bid for Spotless in just over six months. US private equity firm Blackstone lodged a conditional $A657 million take-over offer in May.

Spotless said at the time that offer did not reflect the fundamental value of the company.

Spotless offers outsourcing of facility management, maintenance, cleaning, laundry, food and retail services.