Deadline set for C&W's Energis take-over
Agree by Monday or deal is off
Cable & Wireless (C&W) has made a formal bid to buy-out alternative telco Energis, it confirmed today.
But the offer is only valid until close of business on Monday and needs the backing of a substantial majority of those banks that own Energis.
In a statement issued today C&W it "has made a proposal to acquire Energis [which] has been recommended unanimously by the board of Energis to Energis' stakeholders".
But in a clear sign that C&W will not be drawn into a lengthy round of negotiations it added: "The acquisition proposal will not be increased in value under any circumstances and will fall away if 75 per cent by value of the holders of Energis' debt have not signed the acceptance by 5.00pm on Monday 15 August 2005. If 75 per cent so accept by that date, then the proposal will become a binding legal contract."
The take-it-or-leave-it offer from C&W comes as The Times reportx today that Merrill Lynch and Morgan Stanley - which between them own 25 per cent of Energis debt - are refusing to back the £780m offer in an attempt to get C&W to up its offer. ®