Tuesday January 6, 08:19 AM
Aer Lingus shareholders snub Ryanair takeover: company data
DUBLIN (AFP) - Shareholders in Irish flag carrier Aer Lingus (LSE: AERL.L - news) have shown almost no desire for a takeover by Ryanair (Dublin: RY4.IR - news) , according to data released Tuesday by the no-frills carrier.
Ryanair said that by Monday investors holding 29.83 percent of Aer Lingus shares had backed the former's cash offer worth 748 million euros (1.008 billion dollars) launched in December.
However with Ryanair already owning 29.82 percent of Aer Lingus it means that investors owning just 0.01 percent of remaining Aer Lingus shares have so far backed the takeover.
Ryanair added on Tuesday that its offer would be extended until February 13.
Aer Lingus management had urged shareholders not to back the takeover when it was launched ahead of Christmas.
Ryanair's bid is worth only half the 1.48 billion euros the low-budget carrier had offered for Aer Lingus in an unsuccessful takeover attempt in October 2006.
This time around, Ryanair has offered 1.40 euros per outstanding share and has said that it plans to operate both airlines as separate companies with distinctive brands.
The group's failed 2006 offer was strongly opposed by major Aer Lingus shareholders, including the Irish government, company employees, pilots and their pension fund.
It was ultimately blocked by EU anti-competition regulators.
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