News
Linktone re-states Mob commitment
Stuart O'Brien Feb 21 2007, 2:30pm
China's Linktone has confirmed it will make a formal offer for D2C giant Monstermob should Zed's offer for the company be rejected at an EGM on Friday.
A statement issued by Linktone this afternoon says it has completed a due diligence process that began after it first announced it was preparing a bid on Feb 16th, and that it will be ready to make a formal takeover offer 'within hours' of the EGM, should Spain-based Zed's offer be voted down.
The Chinese company says its proposal is 'clearly superior' to the Zed offer and that it will provide struggling Monstermob with funding to meet its financial obligations until the close of any deal (which it reckons could be tied up by May).
Linktone chairman Elaine LaRoche said: "Our Board is confident that there is much to gain from bringing Linktone and MonsterMob together and we are equally confident that we have our shareholders' support in this view."
The chances of this scenario taking place, however, would appear to be slim. Zed made a statement to the London Stock Exchange yesterday stating that it had received 'irrevocable undertakings' in support of its takeover from key Monstermob shareholders.
The Monstermob board also reiterated its support for Zed's proposal and encouraged shareholders to vote in favour. There are thought to be no other suitors of the company at this time.
