ICG bidders line up meeting

BOTH sides fighting for control of ICG (Irish Continental Group) meet this week in an attempt to end the bid deadlock for the car ferries group.

Each has tabled a €22 per share offer and both have sufficient shares to block the other’s takeover attempt.

Top management in the group led by Eamonn Rothwell initiated the buy out process in early March when it offered €18.50 a share through its takeover vehicle Aella.

That was followed by a €22 per share bid from Moonduster on behalf of One51 and the Doyle shipping company of Cork.

The meeting follows a request from the independent directors that both sides get together to discuss the impasse and to see if a deal, acceptable to each side, can be agreed.

The independent board has told both parties it will not proceed any further unless it has assurances that either side can win a 75% majority to carry its offer.

Despite the talks process sources close to both sides are pessimistic that a deal can be done.

ICG was founded in 1988 by Mr Rothwell who has been at the helm ever since.

His initial offer of €17.50, was raised to €18.50 following pressure from the board.

His decision then to match the Moonduster bid, led by businessman Philip Lynch of One51, surprised the markets.

Sources close to the situation suggest the talks may not move the process on and that Moonduster could end up having to sit on its 22% ICG holding.

This is familiar territory for Mr Lynch whose attempt to takeover NTR Plc left the company holding a 26% stake in the business, controlled by the Roche family.