7:58 am, February 16, 2026
A proposed £575m takeover of automotive tech firm Pinewood.AI has collapsed after a would-be bidder decided against making an official offer.
Car Dealer reported last month that Apax Partners LLP were lining up a cash offer of 500p per share for the firm, which was formerly part of Pendragon.
Bosses had indicated that an official bid would likely be accepted, but the investment group has now decided against pursuing its interest any further.
In a filing to the London Stock Exchange, the company pointed the finger of blame at ‘prevailing challenging market conditions’, as the reason for ending its interest.
While the announcement would seem to mark the end of the deal, Apax does reserve the right to reignite its interest within the next six months, in line with market regulations.
In the filing, the firm said: ‘On 29 January 2026, Pinewood.AI announced a possible cash offer for Pinewood.AI by Apax Partners LLP.
‘In light of the prevailing challenging market conditions, Apax confirms that it does not intend to make an offer for the company.’
The document adds that an offer could be revisited within six months, but only in the following circumstances:
- With the agreement of the Board of Pinewood.AI;
- If a third party announces a firm intention to make an offer for Pinewood.AI
- If Pinewood.AI announces a Rule 9 waiver proposal or a reverse takeover
- If there has been a material change of circumstances
Pinewood.AI was previously part of Pendragon, before the group’s automotive retail division was sold to US giants Lithia in a £397m deal in 2024.
Boss Bill Berman, whose pay package previously led to major revolts among Pendragon stakeholders, retains a significant shareholding in Pinewood.AI and would likely have been in line for a bumper payday if the deal had gone through.
With a combined total of around 115.1m shares, the mooted offer from Apax would have valued the company at around £575m.
Founded in 1972, Apax is now one of the world’s leading private equity and venture capital advisory firms, with offices in London, New York, Hong Kong, Mumbai, Tel Aviv, Munich and Shanghai.
You can read the firm’s full submission to the London Stock Exchange here.
