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Sky Deutschland AG said that it advised its shareholders to reject a takeover bid by British Sky Broadcasting Group Plc. The company described the price of the eventual acquisition, which has been accepted by its controlling investor 21st Century Fox Inc., as too low.

As reported by the Wall Street Journal, Sky Deutschland said the acquisition offer of BSkyB “doesnt reflect the long-term potential nor the internal value” of the company. The Chief Executive Officer of the company Mr. Brian Sullivan was reported to have refused to participate in the offer, which is valid until October 15th. Mr. Sullivan is the only executive member of the companys board, who owns shares. Sky Deutschland also revealed in its statement that two of its supervisory board members said they dont plan to accept the offer of BSkyB.

In July this year BSkyB proposed to purchase 21st Century Foxs 57.4% stake in Sky Deutschland at the price of £2.9 billion ($4.72 billion) in cash, or €6.75 ($8.75) per share. The same price was offered to the remaining minority shareholders of the German operator.

The deal was approved by European regulatory authorities last week. The opposition of Sky Deutschlands board is not likely to prevent the acquisition, due to the agreement with Fox.

“There’s always the room for potential issues and frustrations,” said for the Financial Times Guy Peddy, an analyst at Macquarie, highlighting concerns such as cash returns to shareholders and investment levels. “But both Sky and minorities have the same agenda – which is to create more value from Sky Deutschland.”

Sky Deutschland AG added 0.10% to trade at €6.73 per share at 13:12 GMT, marking a one year change of -1.02%. The company is valued at €5.90 billion. According to the Financial Times, the 22 analysts offering 12 month price targets for Sky Deutschland have a median target of €7.00, with a high estimate of €10.00 and a low estimate of €3.00. The median estimate represents a 4.15% increase from the previous close of €6.72.

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