Danish operator TDC Group’s board of directors recommended shareholders accept a takeover bid worth $6.6 billion from three local pension funds and Australia-based financial group Macquarie, just days after rebuffing the same consortium’s initial advances.

In a statement, TDC confirmed it had received an offer of DKK50.25 ($8.28) per share from pension funds ATP, PFA, PKA and Macquarie Infrastructure and Real Assets. The bid represents a premium of 30 per cent to TDC’s average share price of DKK38.48 for the three months to end-January.

The deal, at least for now, puts an end to a week of uncertainty surrounding the Danish company.

A $2.5 billion deal TDC Group struck a fortnight ago for media company Modern Times Group’s (MTG) Nordic subsidiary was abandoned as a result of this latest development, the Danish company confirmed.

Uncertainty
It was revealed last week the same consortium approached TDC with an indicative takeover offer, valuing the company at DKK47 per share, but the proposal was rejected by TDC for not being in “the best interest of shareholders and stakeholders”.

The initial approach for TDC came just a week after the Danish company agreed its own takeover deal with MTG, in a move the operator said would create Europe’s first fully integrated media and communications provider.

But, in light of takeover interest, it appears TDC’s board decided against its standalone ambitions.

TDC chairman Pierre Danon, explained: “After careful review of our options, the board of directors of TDC believes that the consortium’s offer represents the most compelling value and the highest transaction certainty benefitting the TDC shareholders.”

Swedish-operator Telia, which was linked to a potential acquisition of TDC in the past, issued a statement earlier today (12 February) stating it had considered a deal for TDC, but was presently not in talks with the Danish operator.

A representative for pension fund group PFA told Bloomberg Macquarie will own 50 per cent of TDC if the deal is completed, while the remaining stake will be divided equally among the other three companies.

The deal is still subject to shareholder approval and regulatory clearance.