Tata triggers £1bn bid battle for CWW
Friday 02 March 2012
Shares in Cable & Wireless Worldwide shot up 15 per cent yesterday as Tata Communications of India said it may make a rival offer to the near £1bn hostile bid from Vodafone.
The unexpected emergence of a potential battle for control of the UK's largest business-facing fibre network sent CWW's shares up 4.1p to 31.98p – their highest level for six months.
Tata Communications said it was evaluating a cash bid for CWW, but emphasised that it was at a "very preliminary stage" of considering making an offer. Under Takeover Panel rules it has until 29 March to make up its mind, while Vodafone has until 12 March.
Tata is no stranger to making large acquisitions in the UK. The parent company, Tata Group, bought the steel maker Corus for £13.1bn in 2007 and Jaguar Land Rover for £12bn in 2008.
It is being advised by Standard Chartered, the emerging markets bank, which is also handling the defence on the £1.2bn contested takeover for Cove Energy.
CWW merely said that it noted Tata's interest and advised its shareholders to do nothing.
Shares in CWW had lost more than 70 per cent of their value in the less than two years since it demerged from the international business Cable & Wireless Communications. It has also lost two chief executives in the last year, with the latest, John Pluthero, departing after just six months in charge, having issued a series of profit warnings.
Analysts believe that several private equity firms are also looking at CWW.
The Microsoft mogul told fans a few home truths during his Reddit AMA
- 1 Woman falls to her death as she celebrates marriage proposal at the edge of Ibiza cliff
- 3 Ball pool for adults opens in London
- 4 Baldness could soon be treated using stem cells, scientists hope
- 5 Amal Clooney gives excellent response to fashion question at European Court of Human Rights
Woman falls to her death as she celebrates marriage proposal at the edge of Ibiza cliff
Boris Johnson claims porn-obsessed Islamic jihadists are 'literally w*****s'
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Teenager brandishing fake gun taken down by police after demanding airtime on Netherlands' NOS TV station
Ball pool for adults opens in London
9 reasons Greece's experiment with the radical left is doomed to failure
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
Have we reached 'peak food'? Shortages loom as global production rates slow
Greece elections: Syriza and EU on collision course after election win for left-wing party
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
iJobs Money & Business
£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...
£25000 - £35000 per annum: Recruitment Genius: A Technical Report Writer is re...