DJ Morrisons May Still Face Counter Bid, Citi Says -- Market Talk
1219 GMT - Shares in Wm. Morrison Supermarkets rise 4% to 292 pence after Clayton Dubilier & Rice trumped an offer from a rival consortium led by Fortress Investment Group. Morrisons has backed CD&R's revised cash offer of GBP7 billion, or 285 pence a share, withdrawing its support for Fortress's previous bid of 270 pence a share plus a 2 pence dividend. Still, Citigroup says a holding statement issued by Fortress following the CD&R approach suggests it may yet counter CD&R's offer. "If Fortress chooses to counter-bid, we think a scenario of '10p increments' seems most probable from here as the two parties test each other's resolve," Citi analyst Nick Coulter says. (philip.waller@wsj.com)
(END) Dow Jones Newswires
August 20, 2021 08:19 ET (12:19 GMT)
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