Reed Bids Falling in Dutch Auction
It is being reported that last week,the first round bidders for RBI were given an opportunity to revise their bids, ahead of the formal second round. According to the report on Thomson Merger News bidders were given more information about trading after the first round bids had been submitted. The article claims that the revised bids are lower than those posted initially.
This is the first of several rounds of chipping. We have said all along that the price of £1.2b was always ambitious. As trading deteriorates this will run to value.
Second round bids will lilekly be lower still. Its turning into a bit of a dutch auction