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Billionaire Xavier Niel offered to acquire Millicom International Cellular (NASDAQ:TIGO) in a transaction that values the Latin American carrier at about $4 billion.
Niel’s Atlas Luxco offered to pay $24 a share in cash for Millicom, according to a statement earlier Monday. Shares of Millicom fell 1.1% on Monday.
On Thursday, in anticipation of the takeover offer, an independent committee of Millicom’s (TIGO) board said it believed the $24 per share would “significantly undervalue” Millicom in light of expected financial performance.
“Following deliberation, and after discussions with Millicom’s financial advisors, the independent committee unanimously believes and has informed Atlas that a $24 per share offer price would significantly undervalue Millicom and not be in the best interests of Millicom’s shareholders,” the Millicom independent committee said in a statement on Thursday.
The offer after Bloomberg reported in late May that Niel was considering the $24 a share proposal for Millicom.