XO Sweetens Pot in Bid for Global Crossing
From Reuters
XO Communications Inc., ratcheting up the bidding war for Global Crossing Ltd., offered $200 million to Global bondholders to get them to back its bid for the company, sources familiar with the situation said.
XO, a regional telephone company looking to expand globally, is adding the $200 million to its existing $495-million bid for Global Crossing’s bank debt.
Global Crossing, which filed for Bankruptcy Court protection in January 2002, previously agreed to sell a 61.5% stake to Singapore Technologies Telemedia for $250 million. However, the Singapore deal may face opposition from U.S. regulators concerned about foreign ownership of key telecommunications assets.
XO rose 4 cents to $7.60 in trading on the over-the-counter bulletin board.
