Travelzest has won approval to further extend a deadline for a takeover bid by Red Label Vacations.
Travelzest given more time for Red Label talks
Travelzest has won approval to further extend a deadline for a takeover bid by Red Label Vacations.
The company, which owns Canadian online travel agency itravel200.com, said talks were at a “reasonably advanced stage” with the Canadian bidder but more time was needed.
The Cheltenham-based operating group announced in September that it had received a preliminary approach from Red Label and then a month ago asked for further breathing space until today (November 14) for the suitor to either make a firm offer or walk away.
But the City takeover panel today agreed to another request by Travelzest to extend the deadline again until December 12.
“Although discussions in relation to a possible offer for the company by Red Label are at a reasonably advanced stage, certain aspects of the possible transaction, including finalising legal and financial due diligence, need to be dealt with before Red Label can announce a firm intention to make an offer,” Travelzest said.
Agreement to extend the deadline was made “In light of the progress that has been made in relation to the possible offer”.
Travelzest added: “Although discussions in relation to a possible offer by Red Label are at an advanced stage, shareholders should be aware that there can be no certainty that an offer from Red Label will be forthcoming. A further announcement will be made in due course.”
