After a nerve-wracking wait as the deadline loomed, Vodafone has secured the 75% shareholder support it needs to go ahead with its €7.7bn (US$10.2bn) takeover of Germany’s largest cableco KDG.
On the evening of 10 September, a day out from the…
After a nerve-wracking wait as the deadline loomed, Vodafone has secured the 75% shareholder support it needs to go ahead with its €7.7bn (US$10.2bn) takeover of Germany’s largest cableco KDG.
On the evening of 10 September, a day out from the deadline for investors to tender their shares, the UK operator revealed that less than 16% had done so. Recent hedge fund investments in KDG had prompted speculation that some shareholders were hanging out for a higher price for their stakes.
Vodafone said today that it will publish a final announcement with a definitive result of the tender on 16 September.
KDG shareholders who have not tendered their shares can still choose to accept the offer within the additional acceptance period, expected to run from 17-30 September.
Settlement is set to take place when the additional acceptance period ends. The deal remains subject to other competition conditions, including merger clearance from the European Commission (EC). The commission is expected to complete its Phase I review by 20 September.
In its own statement confirming shareholder support for the deal, KDG said it recommends all shareholders vote on the takeover at an AGM to be held on 10 October in Munich.
In August, the cableco’s management and supervisory boards recommended shareholders accept the offer, considering it to be in the interests of the company and all stakeholders.
Vodafone offered €84.50 per KDG share, but this will be upped to €87 per share if settlement takes place before cableco’s shareholders meet to resolve on the proposed €2.50 per share dividend for the last financial year.
