Dutch cable maker Draka rejects French offer
Dutch cable maker Draka rejected French competitor Nexans' 730-million-euro takeover bid Wednesday as "inadequate" and said it would "review its strategic alternatives."
The offer from Nexans "substantially undervalues Draka and does not address the position and legitimate interests of all stakeholders," it said in a statement after "careful consideration" by Draka's management and supervisory boards.
"Draka will actively review its strategic alternatives, including continuing Draka's stated stand-alone strategy," said the statement, acknowledging the intention of its main shareholder, Flint Beheer BV, to sell out.
Nexans announced last Monday its takeover bid for Draka, saying it had won the conditional support of Flint Beheer, which owns 48.48 percent of Draka.
Draka has some 68 operating companies in 31 countries that employ about 9,400 people.
© 2010 AFP