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Invensys investors prefer all-cash takeover bid - report.

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M2 EQUITYBITES-July 16, 2013-Invensys investors prefer all-cash takeover bid - report(C)2013 M2 COMMUNICATIONS http://www.m2.com

16 July 2013 - Some stockholders of Invensys Plc (LON:ISYS) may choose a rival all-cash bid for the UK technology group over the proposal by France's Schneider Electric SA (EPA:SU) if such is made at all, as they are not keen on the idea of receiving shares as part of the consideration, Reuters reported.

As previously announced by Invensys, the French power equipment maker had approached the UK company with an indicative takeover offer at GBP5.05 (USD7.63/EUR5.83) a share, including GBP3.19 in cash and GBP1.86 in new stock. Schneider itself later confirmed it was holding early-stage talks with the target. Under the local takeover norms, the suitor has until 8 August to come up with a firm offer.

However, one of Invensys' 30 largest stockholders told Reuters that fellow investors would prefer a rival proposal at the same value but entirely comprising cash. The reason for this is the fact that some British fund managers would need to sell the Schneider units right away as they are only permitted to hold London-listed shares. Those investors are concerned about the possibility of losing out value through such a move, Reuters...

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