Henlys share slump leaves Mayflower in pole position
Tuesday 06 October 1998
Henlys said it would not revise its cash and share offer - valuing Dennis at pounds 250m - despite last week's decision by Mayflower to raise its cash offer by 5 per cent to pounds 268.9m. Henlys said tough markets and an expected downturn in the Far East meant that a higher offer "would not be in the best interests of shareholders".
The move led the Dennis board to withdraw their backing for Henlys' bid. However the Dennis directors, who backed Henlys because of its better corporate fit, did not endorse Mayflower's bid and advised shareholders to take no action. The board will issue a recommendation before the Henlys offer expires on 16 October.
City analysts said a victory for Mayflower, which owns 29.9 per cent of Dennis - is almost inevitable unless Henlys can push up the value of its stock and hence the value of its offer.
Henlys was backed by Volvo of Sweden, which bought 10 per cent of the company at the start of the bidding war. But a sharp fall in Henlys' share price has led to a collapse in the value of the bid, tabled in August, from pounds 309m to just over pounds 250m.
Robert Wood, the Henlys chief executive, said he hoped that a rebound in financial markets would raise the offer value. "I am not conceding defeat. Some 70 per cent of Dennis shareholders have still to decide and this battle is still going to run over the next few weeks."
Henlys shares shed 12.5p to 412.5p. Mayflower fell 4p to 133.5p and Dennis was unchanged at 470p.
Newcastle manager taunted again as his side loses to Stoke
- 1 Five-year-old Iris Grace is raising awareness of autism through her extraordinary paintings
- 2 Car tax disc changes: Two days to go - and they affect you much more than just not displaying a piece of paper
- 3 The Simpsons death: Creator Al Jean would 'kill himself' before a character like Homer or Lisa
- 4 British man raped while urinating in bushes at Oktoberfest beer festival in Germany
- 5 Pope Francis assures atheists: You don’t have to believe in God to go to heaven
Five-year-old Iris Grace is raising awareness of autism through her extraordinary paintings
Isis an hour away from Baghdad - with no sign of Iraq army being able to make a successful counter-attack
Car tax disc changes: Two days to go - and they affect you much more than just not displaying a piece of paper
British man raped while urinating in bushes at Oktoberfest beer festival in Germany
George Clooney and Amal Alamuddin wedding: The famous congratulate actor and human rights lawyer after Venice nuptials
Isis, we are told, is a 'clear and dangerous threat to our way of life'. I’m sorry, but I just don’t buy it
Exclusive: 'Putin's Russia has been my biggest regret,' says Nato's outgoing Secretary General
'Women, walk wherever you want' posters taken down in Stamford Hill following 'unacceptable' signs separating men and women
There’s no excuse for Dave Lee Travis’s behaviour, but we need to keep a sense of proportion
Mark Reckless becomes second Tory MP to defect to Ukip in a month
Should gay sex be illegal? 16% of Britons think so
- < Previous
- Next >
iJobs Money & Business
NEGOTIABLE: Austen Lloyd: TRUST ACCOUNTANT - KENTIf you are a Chartered Accou...
£18000 - £20000 per annum + OTE £30000: SThree: SThree are a global FTSE 250 b...
Highly Competitive Salary: Austen Lloyd: CITY - Law Costs Draftsperson - NICHE...
£300 - £330 per day: Ashdown Group: SQL Developer (Stored Procedures) Watford...