C&W raises bid for Thus

30 Jun 2008

Cable & Wireless has tabled a higher offer for Thus after a weekend of crunch talks between the two firms. The improved bid of GBP1.8 (USD3.5) a share values Thus at GBP361 million, including debt. Having dismissed an earlier offer of GBP1.65 a share, Thus has given the new bid an unenthusiastic welcome. The company’s board believes that it is worth as much as GBP2.52 a share, but the lack of a rival bidder means it may have to settle for less. Thus informed its shareholders of the offer this morning, but cautioned that the offer was not ‘compelling’.

‘The Thus board considers that this improved offer represents a proposal worthy of consideration by shareholders in the absence of a better proposal. However, it is the Thus board’s view that the offer is not such a compelling proposal that the Thus board could give a recommendation to Thus shareholders to accept the offer at this time,’ the statement read.

United Kingdom, Cable & Wireless (UK), Thus