Companies

Advent takeover deal for Cobham backed by most shareholders -FT

U.S. private equity firm Advent International is set to clinch its 4 billion pound ($4.99 billion) takeover of defence and aerospace group Cobham Plc after Advent received support from more than 75% of shareholders, the Financial Times reported on Friday.

Adds background and response from Advent

Sept 13 (Reuters) - U.S. private equity firm Advent International is set to clinch its 4 billion pound ($4.99 billion) takeover of defence and aerospace group Cobham Plc COB.L after Advent received support from more than 75% of shareholders, the Financial Times reported on Friday.

The tally is based on the number of proxy votes already cast ahead of a crucial shareholder vote on Monday, the FT reported, citing people familiar with the situation.

Advent agreed to pay 4 billion pounds to buy the British defence and aerospace group known for its pioneering air-to-air refuelling technology in July.

Advent offered 165 pence in cash for each Cobham share representing a 50% premium to the three-month average price at that time.

The acquisition requires 75% shareholder approval. Cobham said that shareholder Artemis Investment Management, which holds a 5.13% stake, would back the deal, which Cobham's directors recommended unanimously.

The biggest investor in Cobham, Silchester International Investors, said in July that it did not consider Advent's offer "compelling".

Advent said it had no comment on the report, while Cobham did not immediately respond to a request for comment.

($1 = 0.8019 pounds)

(Reporting by Aakriti Bhalla in Bengaluru; Editing by Rosalba O'Brien and Daniel Wallis)

((Aakriti.Bhalla@thomsonreuters.com; within U.S. +1 646 223 0229, outside U.S. +91 80 6749 0229;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

US Markets

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More