New war of words in drugs bid battle
"Gehe is trying to get your assets on the cheap," AAH warned shareholders yesterday in its defence document.
In response, Gehe poured scorn on the AAH defence saying it contained little more than vague and unquantified promises for the future.
Gehe launched its 420p a share bid for the company late last month when the company's share price was weak following a period of poor performance and a profits warning.
In its formal defence document AAH announced a pre-tax profits forecast of £29m for the year to March, compared with £42m previously. The principal healthcare business is forecast to make operating profits of £37.8m, up from £36m. However the environmental services business, which earned £3.9m in 1993-94, is expected to lose £3m this year.
AAH said that Gehe's offer was inadequate for a company that has built up a 30 per cent share of the UK pharmaceuticals market and was already undergoing a major rationalisation. "The hard work has already been done" a spokesman said. Problems stemmed from non-core activities such as waste disposal which were being sold. "Gehe's offer completely ignores the fact that AAH's principal healthcare businesses continue to perform well and will benefit further from the current rationalisation and cost cutting programmes."
AAH is due to begin visits to shareholders this week, with the view of Philips and Drew Fund Managers - which owns 17 per cent of the shares - considered crucial.. The shares finished unchanged at 432p, 12p above the bid price.
Stand by for another DECADE of wet summers, say Met Office meteorologists
Serena Williams apologises after comment that rape victim 'shouldn't have put herself in that position'
Bankers could face jail after report urges the Government to introduce new criminal offence for reckless management
Feat of engineering: Incredible photographs show construction beneath New York's Second Avenue
World news in pictures
- 1 Serena Williams apologises after comment that rape victim 'shouldn't have put herself in that position'
- 2 Disability campaigners celebrate 'victory' after government rethink over plans to make it more difficult to claim disability benefits
- 3 Bankers could face jail after report urges the Government to introduce new criminal offence for reckless management
- 4 Breaking the Silence: In the reality of occupation, there are no Palestinian civilians – only potential terrorists
- 5 We never knew Nigella Lawson - and we still don’t
iJobs Money & Business
£500 - £600 per day: Orgtel: FX Options Front Office Java / C# Developer - Ba...
£600 - £700 per day: Orgtel: Project Manager - Front Office - Regulatory IT C...
£600 - £750 per day: Orgtel: FATCA Project Manager - Banking - London - £600-...
£550 - £600 per day: Orgtel: Fidessa Analyst / PM - Banking - London - Up to £...