UK music retailer HMV has rejected the latest takeover proposals from venture capital firm Permira. Despite the investment firm returning to the table with an offer of 210p per share, HMV bosses say the potential buyers are still undervaluing the retail company, which owns both the HMV stores and leading UK bookseller Waterstones.
In a statement issued to the London Stock Exchange, the HMV board said yesterday: "The board unanimously believes that the revised proposal from Permira continues to undervalue the group. As such, HMV Group will not be entering into discussions with Permira with regard to the revised conditional proposal."
When previous offers have been knocked back on price, Permira have returned with a higher bid. Whether they will do so again remains to be seen, though insiders at Permira suggest 210p was their final offer, while insiders at HMV say the retailer wants to put talk of a takeover behind it, and rather return its efforts to its own attempts to take over smaller UK bookshop chain Ottakers.