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Peel Hunt analysts ruled out the possibility of competing bids, given the size of the consortium's existing shareholding, and said a takeover could offer an opportunity to take the company private.
The investment is in convertible bonds but MakeMyTrip, a 15-year-old company that is listed on the Nasdaq, will allow Ctrip to own up to 26.6percentt of its existing shareholding.
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They want KT&G to buy back its shares, which would boost returns to shareholders, rather than sell treasury shares and thus dilute existing shareholdings.
Given the underlying implications and uncertainties in this deal, Sage Stanley Fund's Sam Turner had an important decision to make: Should the Fund hold, increase or possibly sell off its existing shareholdings in Bharti Airtel?
The details of the rescue plan, which will not be known for some time, will probably include a debt-for-equity swap, giving bondholders a controlling share of the restructured NTL and massively diluting existing shareholdings.
The Citigroup equity raising will severely dilute the value of existing shareholdings, hurting such big investors as Saudi Prince Alwaleed bin Talal, however, the hope is that it will bolster confidence in the ability of the company to survive and support its stock price, which fell below $2 last Friday on fears that the bank would be nationalized.
Westley confirmed he would be leaving his shareholding in Farnborough to other existing shareholders, and would also be withdrawing his financial backing at the club.
Existing shareholders will be given the option to retain a shareholding in the company or to exit.
PhotoBox is paying £120 million, mostly in shares, with existing shareholders in Moonpig rolling over a portion of their respective shareholdings in to the share capital of the merged entity.
Booker said the fundraising would take the form of a rights issue – where existing shareholders are asked if they want to buy new shares first – which would suggest the Co-op Group would need to put in more than £100m if it wanted to maintain its shareholding.
Given Arcus' substantial pre-existing shareholding we consider it unlikely that an alternative suitor will emerge.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com