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Rothermere’s higher Daily Mail offer still fails to convince shareholders

It said it had also received letters of intent to accept from 7.8% of investors taking its potential ownership to 41.8%, though is still well short of the acceptance level of 50%

Rothermere Continuation Limited, the Rothermere family vehicle bidding to take the Daily Mail and General Trust (LSE:DMGT) private, is still struggling to persuade shareholders to take up its offer.

Acceptances from non-family investors at close of play yesterday were just 0.2% of the non-voting A shares.

It also comes after RCL yesterday raised the terms of its offer by 6% to 270p from 255p previously.

RCL said Wednesday that this was also its "final offer and would not be increased.”

Majedie Asset Management, an investor in DMGT with a 4.5% stake, said that Rothermere’s revised offer was still not generous enough and has urged shareholders not to accept it.

RCL owns around 34% of the shares, including the voting shares that are all owned by the Rothermere family plus its holding of A shares.

It said it had also received letters of intent to accept from 7.8% of investors taking its potential ownership to 41.8%, though is still well short of the minimum acceptance level of 50%, which RCL yesterday reduced from 90% previously.

DMGT shareholders have until 13:00 GMT on 16 December to accept or reject the proposed offer – still giving RCL time to obtain control of the company.

RCL has said that if the offer is not approved a planned special dividend will be scrapped.