S&N rebuffs approach
BREWER Scottish and Newcastle has rejected what it called a “derisory” £6.8bn takeover approach from European rivals Carlsberg and Heineken.
S&N chairman Sir Brian Stewart accused the pair of attempting to buy the Edinburgh-based business “on the cheap” with the 720p a share approach, which is lower than the brewer ’s current share price.
Sir Brian said: “This unsolicited and derisory offer is an effort to get S&N’s unique portfolio of businesses on the cheap. We will continue to take all actions to maximise shareholder value. I strongly urge shareholders to take no action.”
Danish firm Carlsberg and Dutch brewer Heineken plan to carve up S&N if they succeed in their overtures for the business.
Their approach is conditional on a board recommendation and extensive due diligence. The rejection of the initial approach comes after market speculation that the suitors may have to pay up to 800p a share, which would value the firm at almost £7.6bn.
