Vueling board recommends shareholders reject IAG EUR7 per share offer

Vueling board of directors recommended shareholders reject International Airlines Group's (IAG) offer of EUR7 per share for the remaining 54.15% of Vueling's share capital not currently held by Iberia, as it no longer reflects the value of the carrier, according to reports by Europa Press and El Confidencial. The price represented a 28% premium at the time of the offer, though Vueling's share price has since increased and is now EUR7.85 as of 07-Mar-2013. The board said, "The price offered, which supposed a 27.97% premium when it was announced, has been surpassed in such a way that the trading price is now higher than the offer, with no premium for the increased control."