This morning it was reported that WPP is working with Cordiant Communication's largest shareholder Active Value, which owns 16.7% of the ad group, to thwart a bid by French rival Publicis Groupe and hedge fund Cerberus Capital Management.
However, Active Value has denied such moves. In a statement, a spokesman for Active Value said: "We are still looking for the best way to get value for shareholders and that means keeping Cordiant out of administration. There are no plans currently to launch a joint bid with WPP."
The new WPP bid aims to thwart the Publicis/Cerberus-backed effort to put Cordiant into administration.
Sources quoted by news wire AFX said that WPP submitted its alternative bid just minutes before the 4.30pm deadline yesterday.
"We are making good progress in discussions with the company and its bankers," the source told AFX.
WPP submitted its "alternative" offer on Monday after revising up a bid submitted on Sunday.
It has been confirmed that the "alternative" offer is not higher than WPP's revised 拢246m offer and there are no details on quite how it differs.
Cordiant chief executive David Hearn said yesterday that all prospective bidders, lenders and the board were struggling to try and "reach a resolution in the face of some quite difficult issues". He added that he was hopeful that the company would get a "final resolution imminently".
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