The Takeover Panel has told former Canary Wharf chairman and Brascan that they each have until 13 February to make their respective offers for the London Docklands development company or walk away.
Its edict came on the day Morgan Stanley and Simon Glick sent their offer documents to shareholders which confirmed they would sell or refinance buildings if their £1.55bn bid succeeded.
The Morgan Stanley-led consortium offer is structured as a scheme of arrangement which needs 75% shareholder approval at a meeting on 23 February.
It can switch to a normal takeover, however, which would need just 50% approval.
Canary Wharf and Morgan Stanley will collectively pay their advisers £85m if the bank’s real estate fund is successful in its bid.
Canary Wharf directors will be in line for a stake in the company worth up to £50m if Morgan Stanley succeeds.
Reichmann has agreed to step aside temporarily as a Canary Wharf director while the bid battle ensues. He will still be paid but he will not attend board meetings or discussions that will give him a privileged insight into the takeover process.
References: Financial Times 16/01/04 page 19, page 20, The Times (Broadsheet) 16/01/04 page 27, page 28 (Need to know), The Daily Telegraph 16/01/04 page 35, The Independent (Broadsheet) 16/01/04 page 24, The Gua
