LONDON (Reuters UK) - Market research company Taylor Nelson Sofres (TNS) again urged its shareholders to reject the offer from advertising group WPP after it said the Martin Sorrell-led group refused to consider a higher bid.
WPP (WPP) said on Friday it would extend its offer to September 26 after receiving acceptances from 11 percent of TNS shareholders, but TNS responded by explaining that it still rejected the bid after holding discussions with WPP.
"The board of TNS continues to believe that the WPP offer fails to represent fair value for TNS," it said in a statement. "However, the board recognises that the current long period of uncertainty is not in the interests of TNS shareholders, employees and clients."
As a result, the group said its chairman Donald Brydon had met, at his instigation, with Sorrell on Tuesday, September 9 to discuss the potential for a recommended offer.
"TNS is disappointed that WPP has declined to enter into a dialogue with TNS regarding the benefits of a recommendation," it said. "If a recommendable offer were to be forthcoming from WPP, then TNS ... would commit to cooperate with WPP to ensure a successful transition to WPP ownership.
"In the absence of an increased offer from WPP, the board of TNS continues to recommend that TNS shareholders reject the WPP offer."
WPP said based on the Friday closing price of the WPP share, its offer valued each TNS share at about 278.3 pence, or a premium of approximately 63 percent to the closing price of TNS shares before it entered merger talks with German rival GfK (GFKG).
(Reporting by Kate Holton; Editing by Jon Loades-Carter)
