Verizon’s US$38.50 per share takeover bid for Frontier ‘too low’

A majority of outstanding shares need to vote in favour of the deal to be approved. — Reuters

NEW YORK: Some of Frontier Communications’ largest shareholders are concerned about its planned US$9.6bil takeover by Verizon Communications, with its second-largest investor planning to vote against the deal, according to sources familiar with the firm’s plans.

Glendon Capital Management, which owns nearly 10% of Frontier, believes Verizon’s US$38.50 per share offer is too low, the sources said.