Amadeusz Juskowiak

Analysts see no other bidder for purolatorpcc

Several analysts said they do not believe another suitor will top the 265 mln dlr bid for Purolator Courier Corp by EF Hutton LBO Inc and a management group from Purolators courier division

There had been speculation another offer might be forthcoming but analysts mostly believe the 35 dlrs per share price being paid by Hutton and the managers PC Acquisition Inc is fully valued

Analysts and some Wall Street sources said they doubted another bidder would emerge since Purolator had been for sale for sometime before a deal was struck with Hutton Friday

Purolators stock slipped 38 today to close at 3434 It had been trading slightly higher than the 35 dlr offer on Friday At least one analyst Friday speculated the company might fetch 38 to 42 dlrs per share

analysts and wall street sources doubted a competitive offer would emerge since the company has been for sale for sometime before the deal with Hutton was struck Friday

Hutton had been in talks with Purolators adviser Dillon Read and Co since late December a Hutton spokesman said

Hutton is offering 35 dlrs cash per share for 83 pct of the shares If all shares are tendered shareholders would receive 29 dlrs cash six dlrs in debentures and warrants for stock in a subsidiary of PC Acquisition containing the Purolator US courier operation Hutton values the warrants at two to three dlrs per share

Wall Street sources also said today that a rival bidder might be discouraged by a breakup fee Purolator would have to pay if it ends its agreement with Hutton The sources would not reveal the amount of the fee which will be noted in documents on the transaction to be made public later this week

Reuter