Graham Searjeant
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Alliance Boots’s rejection of the sighting offer from its own deputy chairman and from KKR is an accepted step in the ritual takeover dance.
The next appointed step is a higher but still strictly putative offer that will persuade Boots to open its books to the would-be bidders, one of whom ought to have a pretty good idea what is inside anyway.
Although Mr Pessina and his closest board colleague have stepped aside for the duration, the board still lacks the transparent independent authority simply to say yes or no to a final KKR offer, if one is made.
It should investigate proposals of its own for capital reconstruction that could keep all the gains for existing owners and then put the alternatives to investors, as has so often happened in the investment trust sector.
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