MADRID (Reuters) -Infrastructure fund I Squared Capital Advisors and TDR Capital on Thursday made an offer for Applus, triggering a possible bidding war for the Spanish industrial testing firm.
I Squared and TDR offered to pay 9.75 euros ($10.46) per Applus share, while rival fund Apollo offered 9.50 euros in June.
The bid values Applus at 1.26 billion euros versus 1.23 billion under Apollo's offer. The company's market value on Wednesday was 1.22 billion euros.
Following TDR and I Squared's offer, Apollo has the right to raise its bid under Spanish law.
Applus shares were up 4.8% to 9.91 euros on Thursday morning, suggesting investors expect Apollo to do so.
TDR and I Squared said that they have the offer fully financed and they will reduce the price in case Applus pays any dividend.
Linklaters is acting as legal adviser for I Squared and TDR.
($1 = 0.9321 euros)
(Reporting by Andres Gonzalez and Inti Landauro; editing by Jason Neely)
