RJR Nabisco Inc.'s stock surged in heavy trading Monday after directors extended the record-size auction for the company and disclosed they had received one tentative offer possibly worth nearly $28 billion.
The staggering takeover maneuvers for the food-and-tobacco giant grew even more complex Sunday when a special committee of directors evaluating offers said it was postponing the deadline for bidders until Nov. 29.The committee also disclosed that the bids received as of the first deadline last Friday not only topped all previous bids, which were in the unprecedented $90-a-share or $20 billion range, but that all were worth at least $94 a share or about $21.3 billion. The committee said one group had estimated its offer as possibly worth up to $118 a share or $27.8 billion.
It further stated all previous bidders could resubmit offers, strongly suggesting the committee wasn't satisfied with proposals received so far. The committee also told its own advisers to consider other types of restructuring.