TBO.com - TBO is Tampa Bay Online

Trust Offers $150 Million For Mexico Airline

ADVERTISEMENT

The Tampa Tribune

Published: September 15, 2007

MEXICO CITY - Mexico airline company Consorcio Aeromexico SAB said Friday that a trust run by a unit of Citigroup has launched a $150.4 million tender offer for the company's shares.
Aeromexico said Friday that its board of directors would issue its opinion on the latest offer within 10 business days.

The board had endorsed an earlier offer from other local investors as 'reasonable from a financial point of view.'

The trust run by Citigroup's local banking unit Banamex is offering 1.68 pesos (15 cents) a share for 50.1 percent to 100 percent of Aeromexico's 992.4 million shares, the airline said in a filing with the local stock exchange.

The offer is open until Oct. 15 and could be extended until Nov. 30.

Banamex's brokerage unit is acting as the intermediary in the transaction.

The trust's bid was announced Wednesday and represents a 53 percent premium over the 1.10 pesos (10 cents) a share offer made last month by local businessmen Moises Saba Masri and Alberto Saba Raffoul.

Both offers would be contingent on the Mexico state selling some or all of its 62 percent stake in Aeromexico.

The government has said that it would sell the shares through a public offer unless a buyer emerged.

The Associated Press

Share this:

Loading Comments...

Email Print

ADVERTISEMENT