Virgin Mobile rejects NTL offer
View at BBC NEWS
Virgin Mobile's board has rejected an £817m ($1.4bn) bid from cable operator NTL, despite the deal being backed by major shareholder Sir Richard Branson.
The company, 72%-owned by Sir Richard, opposed the offer on the grounds that it undervalued the business.
Analysts said the decision suggested Virgin Mobile was now hoping that NTL would return with a higher offer.
Sir Richard, meanwhile, said it was up to NTL's board to ensure a fair bid but he was 90% sure a deal could be struck.
Virgin Mobile's board has rejected an £817m ($1.4bn) bid from cable operator NTL, despite the deal being backed by major shareholder Sir Richard Branson.
The company, 72%-owned by Sir Richard, opposed the offer on the grounds that it undervalued the business.
Analysts said the decision suggested Virgin Mobile was now hoping that NTL would return with a higher offer.
Sir Richard, meanwhile, said it was up to NTL's board to ensure a fair bid but he was 90% sure a deal could be struck.
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