By Helia Ebrahimi and Amy Wilson Published: 10:59PM GMT 19 Feb 2010
Previous of Companies NextVT Group
Babcock International Group
The Panel is hearing representations from both sides, and is expected to look at setting a date between March 15 and 29, according to people with knowledge of the discussions. Under takeover rules, Babcock would have to make a formal offer or walk away for six months. VT and Babcock declined to comment.
Defence services company VT has rejected three offers from Babcock, one last summer and two this month. Babcock raised its cash-and-shares bid to a range of between 680p and 715p a share, valuing VT at as much as £1.3bn, which VT rejected on Thursday. The previous bid was worth about 634p a share.
VT Group should open up and prove its worth VT under pressure to open books to Babcock Babcock poised to raise offer for VT Group Babcock may have to raise VT Group bid above 700p Babcock must dig deep to win VT Battle lines drawn at VT and BabcockBabcock, which maintains submarines and warships for the Navy and trains Army engineers, wants VT to open its books before it makes a firm offer so it can evaluate the company"s long-term contracts. It has said it will not make an offer to shareholders without the recommendation of VT"s board, but Babcock chief executive Peter Rogers has been meeting VT shareholders this week, as well as his own.
Babcock is offering 0.701 of its shares for each VT share, and the rest in cash, part of which is the cash VT already has on its books after selling its shipbuilding business to BAE Systems.
Babcock"s offer has thrown VT"s own bid for support services company Mouchel into disarray. VT made a final offer the same day Babcock made its offer public, and has until March 8 to make a firm offer or walk away.
Invesco, VT"s largest shareholder, bought 1.5m Mouchel shares this week, raising its stake to 5.7pc, according to regulatory filing.
VT won a £35m contract this week to maintain the RAF"s Tucano training aircraft.
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