ADVERTISING group M&C Saatchi rejected a fresh takeover approach from the acquisition vehicle of its top shareholder Vin Murria.

Murria's AdvancedAdvT said yesterday that it had floated two options, one an all-share offer that values each M&C share at around 220p or an alternative structure that includes some cash and values them at around 200 pence.

It said the paper offer represented a 20.7 per cent increase on its previous proposal, but that the agency's independent directors had rejected it late on Sunday.

M&C shares were up over five per cent yesterday morning, though closed slightly down at 0.86 per cent.

M&C has been recovering from a 2019 accounting scandal and argues the offer does not reflect its expected future growth. It has said it sees little merit in a deal that does not offer its shareholders a full premium.

M&C last week revealed its full-year headline 2021 pre-tax profit would be ahead of expectations.

AdvancedAdvT has until 3 February to provide a formal offer, Reuters reported.

(c) 2022 City A.M., source Newspaper