Oshkosh rejects Carl Icahn's $3-bn unsolicited offer

US heavy-duty-vehicle maker Oshkosh Corp yesterday rejected Carl Icahn's $3-billion unsolicited takeover bid as too low and adopted a poison pill to ward off any further hostile moves from the billionaire activist-investor.

The board of the Wisconsin-based company rejected Icahn's $32.50-a-share in cash offer and called on investors not to participate in Icahn's tender offer.

''Our board of directors unanimously concluded that Mr. Icahn's unsolicited, inadequate, highly conditional and opportunistic offer significantly undervalues Oshkosh and is not in the best interests of all Oshkosh shareholders,'' said Richard Donnelly, Oshkosh's chairman, in a statement.

Donnelly said that the hostile bid, was "yet another attempt by Mr. Icahn to enrich himself at the expense of all other Oshkosh shareholders."

On 11 October, Icahn, who already holds a 9.5-per cent stake in Oshkosh, had offered a premium of 21 per cent to the company's 10 October closing price (See: Icahn bids $3-bn for Oshkosh in bid to merge it with Navistar).

Icahn's cash offer for Oshkosh is not subject to due diligence or financing, but the investor was seeking to nominate his slate of directors, as a pre-condition for the deal to go through in the next 45 days.