- Lab skin group Integumen said it had agreed to acquire membrane technology company Modern Water for £21.3m in an all-shares deal.

Morden Water shareholders would get one Integumen share for each of their Modern Water shares.

The offer represented a value of around 4.05p per Modern Water share and a premium of about 45% to their most recent closing price.

Integumen and Modern Water had been working together since signing a production and logistics agreement on 17 March, under which Integumen was contracted to produce test kits for Modern Water.

'This has led to significant collaboration between the two companies, which has provided invaluable insight into the Modern Water business,' Integumen said.

'The board of Integumen believes that a merger of the two businesses would be a natural next step and there are synergies and opportunities across the combined businesses in the areas of science, IT, distribution channels, global reach, marketing and sales and management.'

At 9:08am:

[LON:MWG] Modern Water PLC share price was +0.7p at 3.5p

[LON:SKIN] Integumen Plc Ord 1p share price was -0.43p at 3.63p

Story provided by