Cable & Wireless reveals further details on Liberty Global takeover

Cable & Wireless Communications shares rose on Monday after the company said it had reached an agreement on the terms of Liberty Global’s proposed takeover deal.

Liberty Global has offered to buy the entire issued share capital of CWC for £5.4bn, expanding its telecoms business in Latin America and the Caribbean.

CWC said under the recommended offer its shareholders will be entitled to receive for each of its shares, 0.008301 new Liberty Global class A ordinary shares and 0.020321 new Liberty Global class C ordinary shares, as well as a special dividend.

The consideration under the recommended offer would represent an indicative value of 75.70p per CWC share based on the closing price of Liberty’s shares on 19 February of $37.10 per ordinary class A share and $36.19 per ordinary class C share.

Shares in CWC rose 2.89% to 74.80p at 1529 GMT.