Having baited the hook with a first (non binding, indicative) and rejected offer for troubled Alterian, SDL has rebaited with a revised offer upping the incentive to 110 pence per share (vs the original 80 pence per share, see here) and this time Alterian is biting.
The Alterian board considers the new price to be high enough to justify talks, with a view to recommending the proposal if it is firmed up. Given the vehemence with which the previous price point offer was rejected and the assertion by Alterian CEO Heath Davies that the company was definitely not for sale despite its (very speedy) transformation programme, I can imagine some gritted teeth within the boardroom. Still, there is a long way to go. Alterian’s pulled forward interim results are due next week (November 16) when we’ll see if the transformation programme is making an early impact. SDL has until November 21 to make a firm offer or withdraw – but there is an option to extend of course.
