Two more companies have agreed to be taken private, intensifying a wave of takeovers affecting the London stock market. Harworth Group, a regeneration specialist, has accepted a revised offer from its largest shareholder, Peel Holdings, valued at £632 million. Meanwhile, Capricorn Energy’s board endorsed an improved £330 million bid from rival British company Genel Energy, following a competitive bidding process.

Harworth, a developer listed on the FTSE 250, initially rejected Peel Holdings’ earlier proposal but agreed after Peel increased its offer to 187p per share and raised its ownership stake to 52 percent. Capricorn Energy, an oil and gas company, had previously accepted Genel’s initial bid of £270 million in July. However, that offer was subsequently surpassed by a £300 million counterbid from Norwegian firm DNO, which has not indicated if it will escalate its proposal. Genel’s latest offer of 433p per share was approved by Capricorn’s board, sending Capricorn shares up 14.7 percent, while Harworth shares rose 5 percent.

These transactions add to a wider trend of companies leaving the London Stock Exchange amidst an active takeover environment, which has seen several British firms acquired by domestic and foreign buyers. Earlier this year, shares in City institutions such as Lloyd’s of London insurer Beazley and asset manager Schroders stopped trading after agreeing to buyouts. Other targets in recent deals include warehouse operator Segro, budget airline easyJet, food ingredients supplier Tate & Lyle, and Evoke, the owner of bookmaker William Hill.

The surge in takeovers has coincided with a decline in new listings, raising concerns about the overall health and depth of the UK stock market. Market analyst Dan Coatsworth, head of markets at AJ Bell, noted that the departures of Beazley and Schroders reduce investor options in insurance and asset management sectors. He emphasized that despite regulatory changes designed to attract companies to list in London, the volume of initial public offerings (IPOs) remains insufficient to replace firms exiting the market.

However, there was a positive development this week as payments company Airtel Money unveiled plans for an initial public offering, marking the largest London float in five years. Coatsworth welcomed the announcement but indicated that a more consistent flow of new listings is necessary to stabilize and grow the market.

The ongoing consolidation in London’s market reflects both the attractiveness of buyout bids amid favorable financing conditions and persistent challenges in attracting and retaining public companies within the UK capital markets.