MSB International is to be acquired by Keyman, a dormant company controlled by Peter Flaherty, who already owns 14.7% of MSB.

Keyman is paying 65p a share in cash. The MSB board has recommended the deal to its shareholders after four months of talks.

Andrew Zielinski, chief executive of MSB, will be leaving MSB once the deal goes through. Keyman has given an undertaking that Zielinski's contract, including a £100,000 completion bonus, will be honoured at that time.