(Alliance News) - Britvic PLC on Friday rejected an offer from Carlsberg Group, which published a separate release arguing that a buy could help to capture "long-term growth" opportunities.

Britvic, which is a Hemel Hempstead, England-based soft drinks maker, behind brands such as Robinsons squash, received the possible cash offer on June 11 at an offer price of 1,250 pence per Britvic share.

However, the board "unanimously" rejected the proposal on Monday, as they believed it undervalued Britvic. Carlsberg's offer followed a previously rejected proposal on June 6, at an offer price of 1,200p per Britvic share.

In a separate announcement, Carlsberg on Friday said it was considering its position following the rejection and will make a further announcement.

The Danish brewer said that it "believes that the potential transaction would enable it to capture appealing long-term growth opportunities from Britvic's comprehensive portfolio of leading brands in an attractive segment of the beverage market where Carlsberg already has a strong track record."

"The proposal represents a compelling opportunity for Britvic shareholders to realise their investment in full in cash at an attractive valuation," it added.

Carlsberg's offer of 1,250p per share valued Britvic at GBP3.12 billion for the issued share capital and GBP3.20 billion for the issued and to be issued value. The firm currently has a market cap of GBP2.83 billion.

Shares in Britvic were up 11% at 1,125.79 pence each in London on Friday morning.

Looking forward, Britvic said it would continue to consider any further proposal, but that the board remained "confident" in the current and future prospects of the company.

For the six months ended March 31, Britvic reported pretax profit of GBP78.2 million, up 13% from GBP69.3 million a year prior. Revenue climbed 11% to GBP880.3 million from GBP794.0 million. Basic earnings per share rose 15% to 24.1p from 21.0p.

Carlsberg must announce a firm intention to make an offer for Britvic by July 19, or announce that it does not intend to make an offer.

By Holly Beveridge, Alliance News senior reporter

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