ArvinMeritor extends offer; Dana still says no
Oct 3, 2003 12:00 PM, from staff and wire reportsArvinMeritor Inc has extended its $15 net per share offer for all outstanding common shares of Dana Corp's common stock until Oct 30, 2003, at 5 pm Eastern Standard Time (EST) unless further extended. The offer was previously scheduled to expire Oct 2, 2003, at 5 pm EDT. At that time, Dana shareowners had tendered and not withdrawn about 2,339,993 shares pursuant to Troy MI-based ArvinMeritor's tender offer.
This offer represents a premium of 56% over Dana's closing stock price June 3, 2003, the final trading day before ArvinMeritor submitted its first proposal to Toledo OH-based Dana in writing.
In response, Bill Carroll, acting president and chief operating officer of Dana, said, "On July 22, Dana's board of directors rejected ArvinMeritor's offer after a thorough review and consultation with its legal and financial advisors. The board concluded at that time that the offer was a financially inadequate, high-risk proposal that was not in the best interests of Dana or its shareholdersÑand nothing has changed with respect to the offer since that time. Dana's restructuring and transformation efforts are producing results, and the board believes that the company's ongoing strategy is a better way to enhance value for our shareholders."