UK services company, Mouchel Group Plc has said that a bidding war to buy it is about to begin. This happens since many other bidders besides builder Costain Group Plc, have began to show their interest in the company.

The company said that it has been 'actively reviewing' all the approaches that are being made for taking it over. It has strictly asked the shareholders to take no action as of now.

Earlier Costain had made a bid of 172 million pounds for buying out the company. It later on increased the bid to be able to management side to go for talks.

The main idea of Costain behind its bidding is that it wants to make a building and services company that has an order book with minimum 4 billion pounds. One must also remember that the UK authorities have shown their full support for the merger.

Costain Finance Director Tony Bickerstaff said that at present time is of utmost importance. This is the third time that discussion on the topic is being made.

Post the announcement, shares of Mouchel jumped up by 26 per cent to be at 29.75 pence in London.