French banknote printer Oberthur has attempted to ramp up the pressure on bid target De La Rue by demanding it update the market on the state of its relationship with key client, Bank of India.
IC TIP:
Hold
at
833p
Oberthur, which made an indicative cash offer of 905p a share for De La Rue in December, claims it has reason to believe that De La Rue missed out on a recent tender for 16,000 tonnes of currency paper from Bank of India and that, if so, it should inform the market. De La Rue countered by saying that orders in the second half of the year were comparable to the previous year but did not elaborate on who those orders were from.
Despite its concerns, Oberthur says its indicative proposal still stands and De La Rue shares have held steady at 833p.
