A HOLDING company which owns just under 30% of Gateshead firm Petards has made a preliminary take- over approach to the security and surveillance business.

Petards said that the preliminary approach from investment firm Water Hall Group plc “may or may not lead to an offer being made for the company. There can be no certainty that an offer will be made for Petards, nor as to the terms on which an offer may be made”.

Water Hall has been set a deadline of 5pm on October 18 to make a firm announcement on whether or not it intends to make an offer for the company.

The London-based company owns 29.9% of Petards as well as shares in Lloyds Banking Group and an Egyptian firm. This year it caught the attention of Petard shareholders after it opposed the firm’s efforts to issue shares to raise cash.

It wrote to Petards shareholders ahead of a general meeting in July, saying it would vote against a resolution giving the board the power to do so.

Petards said at the time: “Although Water Hall say their response is in the interests of all the Petards shareholders, it is the opinion of Petards’ independent directors that Water Hall is actually pursuing its own agenda.