Employee share owners will play pivotal role in any takeover - The Irish Times says that the Eircom Employees Share Ownership Plan (ESOP), which owns just under 21% of the company, will play a pivotal role in any takeover of the business. The shares are held on behalf of present and former employees and represent a blocking stake. The ESOP played a key role in the 2001 take-private of the company by the Valentia private equity consortium, when it extracted a 29.9% stake in the privately held business in return for its 14.9% stake in the quoted group. That stake has fallen to 20.6% since the group returned to the market in 2004. The ESOP's influence arises from the difficulty any bidder faces in reaching the 80% threshold required to take full control of the business without its support. In addition, the ESOP stake allows it to block certain types of corporate activity that require the approval of more than 80% of shareholders. Swisscom is not expected to start talks with the ESOP, which is governed by trustees representing the company and staff, until it has formally declared its intention to make an offer.
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PTSB signs up 10,000 for 'disposable' credit card - The Irish Independent writes that Permanent TSB has signed up 10,000 customers in four weeks in the roll-out of what it calls the world's first 'disposable' credit card. The scheme has been also declared viable after the number of participating retailers reached a critical mass at 1,000 without any advertising. 'We're now targeting a significant marketing spend for the remainder of the year to build on the fact that the service is now available countrywide and that we're open for business,' said Niall O'Grady, head of marketing. The 3V (Visa Virtual Voucher) works by allowing registered customers to pre-purchase credit from shops in the same way that they currently buy phone credit. It is aimed at people who don't have credit cards, whose cards are maxed out, or who want more security when buying online or by phone.
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Dunne the richest property owner in Ireland - The Irish Examiner says that the richest Irish property owner is Sean Dunne. The businessman last month paid Jurys Doyle a record €260m for 4.84 acres in Ballsbridge, Dublin, where he plans to build residential apartments costing up to €1.25m, according to Estates Gazette magazine's annual rich list. British and Irish real-estate owners and developers got 19% richer over the past year as the value of offices, malls and warehouses increased. The Duke of Westminster topped the list as his wealth rose 27% to £6.6 billion (€9.7 billion).
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J&J cools on $25 billion deal for Guidant - Johnson & Johnson's $25.4 billion takeover of Guidant, the US heart device maker, hung in the balance on Wednesday night after the pharmaceuticals group threatened to walk away unless the price was lowered, says the Financial Times. J&J on Wednesday received conditional US regulatory approval for the cash-and-stock deal, agreed in December, but said recent product recalls and other difficulties at Guidant could trigger a 'material adverse effect' clause in their agreement.
