Lone Star has ruled itself out of contention to acquire IWG prior to the bid deadline this Friday.
The private equity firm said it did not intend to make an offer for the entire issued and to be issued share capital of the world’s largest serviced office provider by footprint.
It was one of three firms that IWG, previously called Regus, reported at the start of May had separately made indicative takeover approaches for the firm.
See also: Why is private equity going nuts for IWG?
The FTSE 250 company confirmed it had received an approach by Lone Star and two indicative proposals from Starwood Capital and TDR Capital and was “evaluating the possible offers”.
IWG also received a fourth takeover offer in May from Los Angeles-headquartered family office, Prime Opportunities, which it rejected.
Prime Opportunities said it was still considering the possibility of making an offer for IWG and was “confident in its ability to submit a further proposal to IWG’s board for its consideration in due course.”
Earlier this year Brookfield and private equity group Onex Corporation ended talks about a proposed takeover after its £2.5bn bid for IWG was rejected.
Set up by entrepreneur Mark Dixon in 1989, IWG has grown into a global business with 3,500 properties in 115 countries. Although it has benefited from a shift towards flexible working, it faces intensifying competition from US operator WeWork and British firms such as The Office Group.
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