Those who currently hold shares of The Pepsi Bottling Group, Inc. (NYSE:PBG)/ PepsiAmericas, Inc. (NYSE: PAS) and purchased the shares before the proposed takeover have certain options and should contact the Shareholders Foundation, Inc.
Email: mail@shareholdersfoundation.com
Or call us at: +1 (858) 779 - 1554
Pepsi Bottling Group Inc. and PepsiAmericas, Inc. (NYSE: PAS) were each sued by an investor who claims PepsiCo Inc.'s $29.50-a-share buyout offer for Pepsi Bottling and PepsiAmericas at $23.27 per share undervalues each stock. Pepsi Bottling Group Inc. said along with the same argument as the lawsuits that the offer is "grossly inadequate" from PepsiCo Inc. According to court papers both investors also alleged that the offer by PepsiCo is unfair and inadequate because the value of Pepsi Bottling Group and Pepsi Americas common stock is each materially higher than the amount offered.
Prior PepsiCo Inc. announced to buy the bottling operations Pepsi Bottling Group and PepsiAmerica. PepsiCo is offering $29.50 in cash and stock for each share of Pepsi Bottling Group, Inc (NYSE:PBG), valuing the company at about $6.4 billion and $23.27 per share for PepsiAmericas, valuing the company at about $2.9billion. With the newest move from Pepsi Bottling analysts say that doesn't mean the deal is over, just that PepsiCo. needs to offer more money. Bill Pecoriello, an analyst who heads ConsumerEdge Research LLC, reportedly said more realistic prices are at least $38 a share for Pepsi Bottling and $28 a share for PepsiAmericas. Pepsi Bottling Group also looked to shield itself from other bids it deems unfavorable, saying it had approved a stockholder rights plan. Such plans, also known as "poison pills," are commonly used as a way to try to hold off hostile takeover attempts. PepsiAmericas reportedly said it was still evaluating PepsiCo's offer and would not comment.
But Bill Pecoriello expects PepsiAmericas to also reject the offer as inadequate. PepsiCo Inc.'s chief executive told shareholders recently at the annual shareholder meeting that the time is right to buy the soft drink and snack maker's two biggest bottlers in North America, even after one of them rejected a deal. Since the proposed takeover stocks of Pepsi Bottling Group and PepsiAmerica increased, hitting levels that were significantly above the implied acquisition price. Pepsi Bottling Group shares were after the announcement as high as $32.06 per share and shares of PepsiAmericas, Inc traded as high as $25.20 per share. Shares of PepsiBottling Group (NYSE:PBG) had a 52week high of $34.33 per share and reached an all time high in 2007 with over $41.72 per share. Shares of PepsiAmericas, Inc (NYSE:PAS) had a 52week high of $26.25 per share and reached an all time high in 2007 with over $34.78 per share.
Those who currently hold shares of The Pepsi Bottling Group, Inc. (NYSE:PBG)/ PepsiAmericas, Inc. (NYSE: PAS) and purchased the shares before the proposed takeover have certain options and should contact the Shareholders Foundation, Inc.
Email: mail@shareholdersfoundation.com
Or call us at: +1 (858) 779 - 1554
Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North - Suite 423 -
92108 San Diego
Tel:+1-(858)-
Fax:+1-(858)-
mail@shareholdersfoundation.com
www.ShareholdersFoundation.com
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