Elis SA Approaches Vestis for Potential Acquisition Amid Share Volatility

French workplace supplies provider Elis SA has made a confidential acquisition offer to Vestis, formerly Aramark's uniform rental business. Vestis has faced share price declines and legal challenges, making it an acquisition target. No terms of the deal have been disclosed, and it's uncertain if Vestis will accept.

French workplace supplies provider Elis SA has approached Vestis, the former uniform rentals business of Aramark, with an acquisition offer, according to sources familiar with the matter. The discussions, which remain confidential, started a few weeks ago, sources revealed while requesting anonymity.

There's no guarantee that Vestis will accept Elis' offer. Another potential buyer could emerge, or Vestis might decide against any deal entirely, sources said. Following the news, Vestis' shares surged nearly 15% on Thursday, prompting a brief trading halt.

Elis and Vestis have not responded to requests for comment. Vestis has seen its share price drop by about 35% this year due to the loss of significant customers, contrasting with a 17% rise in the S&P 500 Diversified Support Services Index.

(With inputs from agencies.)