Another influential shareholder adviser Glass Lewis has recommended Cobham shareholders back the company’s £4bn takeover by Advent International, after Institutional Shareholder Services (ISS) said the same two days ago.
Glass Lewis is the second-most prominent advisory service in the world behind ISS, and has told shareholders to choose the “‘bird in the hand’, in this case being the all-cash offer at a significant market premium representing a two-and-a-half year high price and strong relative value”.
It said the bid is in the best interests of shareholders and offers fair takeover premium.
The advice follows the family of the founder of Cobham stepping up its fight against the takeover, with Lady Nadine Cobham writing to the top 15 investors arguing the offer “significantly undervalues the turnround of a recapitalised business”.
Nadine’s late husband Michael Cobham ran the company, and was the son of founder Alan Cobham.
Shareholders in the defence company have until 16 September to decide on the 165p all-cash offer, which Cobham’s board has already recommended.
One of Cobham’s biggest shareholders, Silchester International, has also urged the board to look for better offers.
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