Dow Jones & Co of New York is proposing to pay $18 a share, $576m all told, for the 33.8% of financial information services group Telerate Inc that it does not already own, a price that is regarded as low for the minority of the business – so low in fact that the news put $4.50 on the Telerate share price at $19.625 as the market told Dow clearly that it will have to pay more if it wants the whole of the business. Dow plans to start a cash tender offer for the shares this week. Dow already nominates six of the 13 directors on the Telerate board, but Telerate has appointed a committee consisting of two independent members of the board to consider the offer before the board makes a recommendation.
