The Italian Internet access provider Tiscali has bought Liberty Surf of France from Europatweb and Kingfisher, the companies announced today.
On the basis of the value of shares in Tiscali in the last 20 trading days, the offer values Liberty Surf at euro 900 million ($855 million) or at euro 9.83 per share.
Tiscali said that it had bought two stakes of 36.47 per cent in Liberty Surf owned by Europatweb of the French Bernard Arnault group and by Kingfisher, a leading British retailer.
Each of the two sellers would receive 0.365 shares in Tiscali for each share in Liberty Surf and euro 2.13 per share, representing euro 71 million in cash for each.
Tiscali would offer the same terms to other shareholders.
In Milan, Tiscali shares dived 6.78 per cent to euro 12.70 when trading opened in the early afternoon, after their suspension in the morning pending the purchase announcement.
AFP