ABN chairman says Barclays bid too low
20 September 2007 , ROTTERDAM ( AFP) - British bank Barclays' bid for Dutch bank ABN AMRO is too low compared to the consortium bid, ABN AMRO chairman Rijkman Groenink told a shareholders meeting Thursday.
20 September 2007
ROTTERDAM ( AFP) - British bank Barclays' bid for Dutch bank ABN AMRO is too low compared to the consortium bid, ABN AMRO chairman Rijkman Groenink told a shareholders meeting Thursday.
"Compared to the consortium bid Barclays' offer is too low. We cannot ask you to make up the difference out of your own pocket," Groenink told shareholders at a meeting to discus the rival bids.
ABN AMRO is at the centre of the biggest takeover battle in the banking industry after a three-bank consortium of Royal Bank of Scotland along with Belgian-Dutch Fortis and Spain's Banco Santander sought to outgun an offer from Barclays earlier this year.
Initially ABN AMRO backed the Barclays takeover bid, but it withdrew its support in June after the consortium put more cash on the table and on Sunday the Dutch bank said it was neutral.
The consortium's offer of EUR 71 billion, which is mainly in cash, is far richer than the Barclays bid which is around EUR 60 billion.
But the chairman stressed again Thursday that he could not recommend the consortium bid either.
"It's an offer that will break up the bank. We don't want to support a break up of ABN AMRO," Groenink said.
The shareholders' meeting in Rotterdam was called to discus the rival offers but they will not be voted on. The ANP news agency said that only 4.6 percent of ABN AMRO's share capital was represented during the meeting.
[Copyright AFP 2007]
Subject: Dutch news