JOHN LAING, the PFI specialist, yesterday agreed to a £957.5 million takeover bid from Allianz, the German insurance group, just weeks after recommending an offer from the fund manager Henderson.

The latest bid would give shareholders 385p a share in cash, beating Henderson’s offer of 355p a share. Allianz said its offer represented a premium of 39.7 per cent to Laing’s share price at the close of business on September 13.

The deal would make Allianz “the preferred partner of choice in infrastructure finance”, said Thomas Pütter, director of Allianz Infrastructure Holdings, which is part of the Allianz Group and was set up for the purpose of the Laing bid.

Laing’s expertise in Private Finance Initiative schemes and Public Private Partnerships would also give Allianz an investment portfolio that matched the long-term nature of its liabilities, Mr Pütter added.

“They know how to originate, analyse, structure, execute and manage these assets with great skill over a long period of time,” he said.

Laing has a portfolio of 50 PFI and PPP projects, including the redevelopment of the Royal London and Barts hospitals.

Yesterday William Forrester, Laing’s chairman, said that the company’s directors had withdrawn their recommendation of Henderson’s offer in favour of the Allianz bid.

“Laing would benefit from accessing funds which attract a more competitive cost of capital and an international network of financial services specialists,” he said.

The company said that a majority of shareholders supported the deal.

Laing’s shares rose more than 10 per cent to 395p amid expectations of a rival bid. However, the company declined to comment on the possibility of further bids.

Allianz said that it was as interested in Laing’s future pipeline of projects as it was in its current portfolio and would be able to supply capital to expand the pipeline more readily than Laing, which has completed two rights issues since 2001.

“We believe that we will be a meaningful contributor to expanding that pipeline,” Mr Pütter said.

He also said that the deal would aid Laing’s plans for international expansion, as other countries turned to the UK for its PFI expertise.

“The Allianz Group will provide capital to support the growth of the Laing business to enhance its position as a leading PFI provider in the UK,” he said.

“The UK is in many ways the birthplace of PFI financing. One of the reasons we are attracted to this is the potential growth opportunities in continental Europe and the United States.”

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive