Masmovil shareholder Indumenta Pueri dropped its opposition to a buyout of the operator by Lorca Telecom BidCo, backing the takeover as a deadline to decide on the deal approaches.
In a statement issued to Spain’s stock market regulator Comision Nacional del Mercado de Valores, it was revealed Indumenta Pueri had u-turned on its opposition and intended to tender all its shares.
The company is the third-largest shareholder in Masmovil, with an 8.25 per cent stake.
Masmovil board member Rafael Dominguez, who controls Indumenta Pueri, previously outlined his opposition to the Masmovil takeover and said it would vote against it.
Dominguez’s withdrawal of his opposition will no doubt be a relief to Masmovil’s board, which has been under fire since it accepted a €3 billion offer from Lorca Telecom BidCo which shareholders argued undervalued the operator.
Lorca Telecom BidCo is a joint venture between Providence Equity, Cinven Capital Management and KKR Associates Europe.
Minority shareholder Polygon Global Partners said late last month it would vote against the deal, while criticising Masmovil’s board. Fellow minority investor AllianceBernstein has raised similar concerns.
Shareholders are expected to decide whether to accept or reject the deal by 11 September.
Comments