11th Apr 2007 15:11
CVC Capital Partners Limited11 April 2007 STATEMENT REGARDING J SAINSBURY PLC ("SAINSBURY") CVC Capital Partners, The Blackstone Group International Limited and TPG Capital(together "the Consortium") announce that they are no longer considering makingan offer for Sainsbury. The Consortium confirms that it put forward a proposal to the Board of Sainsburythat included a cash offer and a stub equity partial alternative. The proposalincluded a number of features designed specifically for a large public-facingbusiness like Sainsbury, including: a major investment and job creating businessplan, wide employee ownership, annual disclosure, independent non-executivedirectors and a proposal for the continued security of the pension schemes. After a number of discussions between the Board of Sainsbury and the Consortium,it became clear that the Consortium would be unable to make a proposal thatwould result in a successful offer. The approach was at all times friendly and constructive. The Consortium remainsgreat admirers of Sainsbury, its management and employees. For the purposes of Rule 2.8 of the City Code on Takeovers and Mergers (the"City Code"), each of the members of the Consortium and Kohlberg Kravis Roberts& Co. Limited reserve the right to make or participate in an offer for Sainsburywithin the next six months in the event of: (i) the agreement or recommendationof the Board of Sainsbury; (ii) the announcement of an offer by a third partyfor Sainsbury; or (iii) the announcement by Sainsbury of a "whitewash" proposalfor the purposes of Rule 9 of the City Code or of a reverse takeover, as definedin the City Code. Contacts: M:Communications Nick Miles 020 7153 1535 / 07796 171667 Edward Orlebar 020 7153 1523 / 07738 724630 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Sainsbury's