M&C Saatchi PLC (AIM:SAA) has again rejected its largest shareholder's "derisory" £254mln takeover offer.
In response to the offer AdvancedAdvT Ltd (LSE:ADVT) (Adv), the investment vehicle of Vin Murria, M&C urged shareholders to "take no action" and maintained the offer price was now lower than the current value.
Despite further meetings with Adv, the advertising and marketing giant said all 18 members of M&C's executive committee remain unanimously opposed to the offer.
"They believe that the Adv offer fails to reflect the growth and opportunities in front of M&C Saatchi and does not offer a fair value for the business," terming the bid "derisory."
The takeover has unsettled M&C Saatchi, which reported a 9.6% rise in net revenue for the half year to June, to £129.4mln.
For the first six months of the year, headline pre-tax profit was 52.4% higher at £16mln.
There was, however, a drop in statutory pre-tax profit to £0.3mln compared to £4.8mln last year, adversely affected by "ongoing takeover transaction costs" of £9.3mln.
M&C characterised the offer bid as carrying a "high risk of damaging culture, triggering a talent exodus, revenue loss, and value destruction" while a "disregard for US regulatory filings" may result in significant revenue loss.
The company said the all-share and cash-and-share offer values it at 175.8p and 182.0p, respectively, both of which are lower than the 200p share price at which Adv acquired its stake in M&C Saatchi in January and 207.5p indicated in May.
Adv and Next Fifteen Communications have both approached M&C with takeover proposals in the past six months.
M&C initially approved Next Fifteen's takeover bid in May but withdrew its support a month later after Next Fifteen's share price plummeted, affecting the value of the deal.
Four attempts have been made by Adv - the most recent being valued at £253.6mln - but have all been rejected by M&C.
Nevertheless, M&C has left the door open to Next Fifteen's 247.2p a share offer, with the bid conditional on competition and regulatory approvals.
Adv added it had decided to bring forward the unconditional date of its offer to September 30.