Nov 28 (Reuters) - Loxam SAS, a European industrialequipment rental firm, has made a preliminary cash approach tobuy Lavendon Group Plc, a British aerial work platformrental firm, it said on Monday.
The move lays the grounds for a takeover battle withBelgian equipment supplier TVH Group, which proposed last weekto buy Lavendon in a potential deal worth 348 million pounds($435 million).
Loxam urged Lavendon shareholders not to take any action insupport of TVH's offer as it was in talks with Lavendon over itspotential offer, it said. It did not give the value of itsoffer.
Lavendon also advised its shareholders last week to take noaction on TVH's 205 pence per share recommended offer, citingconcerns over execution risk and potential disruption to itsbusiness. Lavendon said it had received an unsolicited approachfrom TVH after its half-year results in August.
Hedge funds firms Sand Grove Capital Management and MVNAsset Management increased shares in Lavendon after TVH's announcement.
($1 = 0.8000 pounds) (Reporting by Esha Vaish in Bengaluru and Maiya Keidan inLondon; editing by Susan Thomas)