UDG Healthcare said today that private equity firm Clayton, Dubilier & Rice (CD&R) has raised its offer to buy the London-listed firm to £2.76 billion.

UDG said the bid of 1,080 pence per share in cash is CD&R's final offer and the Ireland-based company's board unanimously recommended it.

CD&R's initial offer of 1,023 pence per share in cash faced opposition from UDG's top shareholder Allianz Global Investors, prompting an announcement last week that the private equity firm could raise its bid.

Allianz said yesterday that it would back an offer of 1,080 pence apiece.

UDG specialises in healthcare advisory, communications, commercial, clinical and packaging services.

It has strong market positions in the pharma services space and it employs around 9,000 people in 29 countries.

Both its Ashfield and Sharp businesess operate in large and growing markets, underpinned by continued growth in new drug development and approvals, increasing therapeutic and drug complexity and continued outsourcing from pharma and biotech clients.