LNK –2.02%: an updated bid from Dye & Durham has come through following the UK court’s decision to only allow a takeover of Link if a redress facility is arranged to cover potential claims regarding the collapse Woodford fund. A ~$500m facility would be housed separately in case any losses from the collapse was to fall on Link’s shoulders. As a result, Dye & Durham has reduced their bid by $1/sh to $3.81/sh cash, while shareholders would also be entitled to their share of any unused portion of the facility. Link has rejected the terms with the view that there should be any claims against them. Link would likely fight harder to prove that, while Dye & Durham would see no upside in attempting to reduce the claim below the potential $500m. Unless the two parties can work this through, a deal looks unlikely until a final decision is made on Woodford, which could be over 12 months away.
MM has no interest in LNK here
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