Western undeterred in hostile bid for ADT
ADT Ltd. shares to June 17, a move that follows ADT's disclosure on Wednesday of a plan to lobby Western holders against the bid.
Bermuda-based ADT, the largest provider of electronic security in the US, last month accepted a rival friendly offer from Tyco Industries Inc. Tyco's stock bid is worth $28.16 ADT share, based on Wednesday's closing price. Western is offering $22.50 for each ADT share, $10 in cash and $12.50 in Western stock.
Topeka, Kansas-based Western owns two utilities and one of the largest US electronic security businesses. It intends to win new customers by packaging security and other services with sales of electricity and natural gas.
Deregulation of the utility industry in a few years is expected to give US consumers the freedom to choose their power suppliers.
Western said 51,793 common shares had been tendered as of Wednesday, or less than one percent of ADT's 156.7 million shares outstanding. Western already owns about 27 percent of ADT's stock.
The earlier deadline was April 15.
ADT on Wednesday said it would launch a proxy fight against Western. ADT plans to lobby Western shareholders at a special meeting scheduled for June 17.
Western will ask its shareholders to issue additional stock in connection with the hostile bid.
Tyco, based in Exeter, New Hampshire, is one of the world's largest makers of fire protection equipment, such as sprinklers. -- Bloomberg
