Clayton, Dubilier & Rice, LLC (CD&R) says it is considering increasing its offer for UDG Healthcare plc (LSE:UDG) after leading shareholders said the bid undervalued the company. CD&R said 25 June 2021 that after talks with some UDG shareholders it was considering raising its bid to £10.80 per share from an offer £10.23. That would lift the overall price for UDG to about £2.7 billion (EUR 3.15 billion) from £2.6 billion. On May 12, CD&R and UDG said they had agreed on the terms of a cash offer, which was unanimously recommended by the board of UDG. However, Allianz Global Investors, which is the largest shareholder in UDG, said the £2.6 billion bid for the health services company was "opportunistic and significantly undervalues UDG and its prospects". Bidco - an affiliate of CD&R - has since held discussions with "certain UDG shareholders" and says it is considering an improved and final offer. UDG said in a statement that the higher possible offer price would not be increased unless another bidder emerges. The Dublin-based company said it is not in discussions with anyone else about a takeover offer. The board of UDG has indicated to Bidco that if the increased final offer is made it intends to recommend it to shareholders. Under the terms of the bid, which is being implemented by way of a Scheme of Arrangement, CD&R would have needed to get 75% approval from voting shareholders in UDG at an extraordinary general meeting (EGM).