Imperial Tobacco Seeks OK For Altadis Bid -Newspaper

Imperial Tobacco Group PLC (ITY) Monday will seek shareholder approval for its GBP11 billion takeover of Altadis S.A. (ALT.MC), the Franco-Spanish cigarettes group, which includes a GBP5 billion rights issue, according to The Times in London. The U.K. tobacco group is hoping to get the go-ahead for the EUR50-a-share all-cash deal at an extraordinary general meeting Monday afternoon, the newspaper said. Imperial is attempting to secure backing for the rights issue at a time of market instability, after last week's panic share selling around the world and with selling expected to continue this week, according to The Times. The U.K. group has given itself a 12-month window in which to execute the rights issue, according to The Times. In the meantime, it has secured a GBP5.4 billion temporary loan, to be repaid through the GBP5 billion share issue, which has been underwritten, or guaranteed, by a number of banks, including ABN Amro, Hoare Govett, Morgan Stanley, Citigroup and Lehman Brothers, according to the newspaper.