British brewer rejects new Carlsberg-Heineken bid
The board of British brewer Scottish & Newcastle has rejected a new raised bid from Danish brewer Carlsberg and Dutch group Heineken, Carlsberg and S& N said Thursday.
Carlsberg and Heineken, which have formed a consortium, said they Wednesday raised their earlier cash bid by 30 pence to 780 pence per Scottish & Newcastle share, amounting to 7.6 billion pounds (15 billion dollars).
The board of S& N had earlier rejected a bid worth 720 pence per share and one of 750 pence per share, and after rejecting the latest bid said it "has discussed with the consortium that it is prepared to engage with them, but only when a firm proposal of at least 800 pence per share had been made."
Carlsberg and Heineken earlier said they were "not prepared to proceed with an offer without the recommendation of the board of S& N," and urged Scottish & Newcastle shareholders to call on their board to enter into talks before a January 21 deadline.
In a statement, Heineken Chief Executive Jean-Francois van Boxmeer said: "It is decision time for S& N shareholders. Without the S& N board's cooperation there will no offer by the consortium."
Carlsberg Chief Executive Jorgen Buhl Rasmussen said the latest bid was "a very generous proposition."
The new bid constituted an almost 47-per-cent premium on the closing price at the end of March 2007 "before speculation first arose around a possible offer for S& N," Carlsberg said.
The Copenhagen-based group and Heineken on October 17 issued a statement that confirmed their interest in the British brewer, which further boosted S& N's share price. ( Dpa )