Road and infrastructure support contractor Mouchel has confirmed today that it has “unanimously rejected” two takeover bids from rival outsourcing firm VT Group.

The takeover rejection came as the VT Group put forward potential offers at around the 250p a share mark, although above the current price at around 240p the rival’s offer was far below Mouchel’s year trading highs of more than 384p.

The Surrey based company said these approaches were “wholly inadequate and at a level which substantially undervalues the company”.

Following the news, Mouchel shares have soared 28 per cent and whilst VT group responded to the announcement saying it is “continuing to review its options”, Mouchel believes the group still remains interested in pursuing a future transaction.