Pilkington chiefs in talks on NSG bid

Pilkington executives spent the morning of 18 November 2005 in talks with their counterparts from Nippon Sheet Glass to discuss an amicable offer of GBP 1.5-a-share for the UK glass giant.
The talks …

Pilkington executives spent the morning of 18 November 2005 in talks with their counterparts from Nippon Sheet Glass to discuss an amicable offer of GBP 1.5-a-share for the UK glass giant. The talks were described as “cordial” by insiders. However, no agreement was reached and the negotiations were expected to continue well into the week commencing 21 November 2005. Japan“s NSG, which is Pilkington“s largest shareholder with almost 20% of its stock, made its initial approach on 31 October 2005. The offer of GBP 1.5 a share valued Pilkington at GBP 1.97 and represented a 35% premium. However, Pilkington, chaired by Sir Nigel Rudd, rejected that offer, claiming the offer “materially” undervalued the company. NSG and Pilkington both declined to comment.