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Carlsberg A/S (OTCPK:CABGY) (OTCPK:CABJF) traded sharply lower in London on Friday after British soft drinks maker Britvic (OTCQX:BTVCF) (OTCQX:BTVCY) rejected the Danish brewer’s £3.11 billion ($3.9 billion) takeover proposal.
Britvic (OTCQX:BTVCF) said its board concluded that the offer from Carlsberg significantly undervalued the company, and its current and future prospects. The board said it remains confident in the current and future prospects of Britvic (OTCQX:BTVCF). It also stated that it recognizes its fiduciary duties and will consider any further proposal on its merits.
Per UK takeover rules, Carlsberg (OTCPK:CABGY) must indicate its intention to make a formal offer for Hemel Hempstead-based Britvic (OTCQX:BTVCF) by July 19 or walk away.
Britvic’s (OTCQX:BTVCF) collection of soft drink brands include Robinsons, Fruit Shoot, J20, Tango, Ballygowan, MiWadi, TK, and Cidona. The company also has exclusive agreements to produce and distribute Pepsi, Mountain Dew, 7UP, and Gatorade in certain territories.
Shares of Britvic (OTCQX:BTVCF) were up 6.70% in afternoon trading in London, while Carlsberg (OTCPK:CABGY) was down 7.14%.
