Informa shares fall after it rejects takeover bid
Shares at Informa PLC, the London-based publisher of Lloyd's List maritime newspaper, fell 6 per cent on Friday after the company rejected a 1.9 bn pound takeover bid from a private equity consortium.
By Agencies |
LONDON : Shares at Informa PLC, the London-based publisher of Lloyd's List maritime newspaper, fell 6 per cent on Friday after the company rejected a 1.9 bn pound (US$3.4 bn) takeover bid from a private equity consortium.
Informa said Thursday that the consortium's offer of 450 pence (US$7.93) a share significantly undervalued the company.
The publisher had previously received an approach of 506 pence (US$8.91) in July, which valued the company at 2.15 bn pounds (US$3.79 bn).
The reduced offer, and subsequent rejection, came after a change in the members of the takeover consortium earlier on Thursday.
Blackstone Management Partners LLP replaced fellow U.S. private equity firm Hellman & Friedman LLC to join Providence Equity LLP and The Carlyle Group in the bidding group.
ADVERTISEMENT
Informa owns more than 2,000 trade publication and arranges some 10,000 business conferences each year and has a presence in some 40 countries. An earlier takeover attempt by United Business Media ground to a halt in June.
``Interest in Informa has demonstrated the attractiveness of the company's business model, the quality of its assets and people,'' said Informa's CEO Peter Rigby.
Shares fell by as much as 8.7 per cent in early Friday trading on the London Stock Exchange, but had recovered slightly by early afternoon to 392 pence (US$6.90) _ a decline of 5.6 per cent.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
