Terra Peregrin, the firm controlled by Angolan billionaire Isabel dos Santos, has withdrawn its €1.2 billion bid for Portugal Telecom SGPS, the part-owner of Brazilian operator Oi, after the offer was branded as too low last week by CMVM, Portugal’s market regulator.
Dos Santos made her bid in November in an attempt to block Altice’s proposed takeover of the Portuguese telecoms assets owned by Oi.
The news is a boost for the Altice bid, on which PT SGPS shareholders will vote on 12 January.
Terra Peregrin ran into trouble when CMVM decided its offer was not exempt from a rule that a bidding price has to be at least a share’s average price over the last six months.
Terra Peregrin had previously argued that it had calculated its offer for PT SGPS on the basis that its share price had dipped since July, when it was disclosed the company held debt securities in Rioforte Investments, which was in default.
Portugal Telecom SGPS argued earlier this month that the dos Santos bid undervalued the company.