WPP has extended its £1.1 billion takeover bid for TNS by one week after last Friday’s deadline lapsed with support from just 33.8% of TNS shareholders.
WPP Group, led by Sir Martin Sorrell, has given TNS shareholders who have not yet accepted the deal until Friday to change their minds.
The number of those who accepted the offer trebled in the space of two weeks after further decline in the economic climate and the EU’s clearance of the proposed deal (see WPP Gets EC Approval For £1.1bn TNS Takeover).
The offer remains unchanged, valuing TNS at around £1.15 billion, based on WPP’s share price at the stockmarket’s close on Friday.
However, the TNS board still believe the offer undervalues the company and fails to take into account factors such as its market-leading position and growth strategy.
Following the number of acceptances for the WPP offer on Friday, TNS released another statement encouraging shareholders to reject the bid.
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