Mitel Withdraws ShoreTel Bid

(RTTNews) - Canadian business communications company Mitel Networks Corp. (MITL, MNW.TO) said Monday that it has withdrawn its offer to buy ShoreTel, Inc. (SHOR), following repeated refusal by the latter's board of directors to engage in talks of any kind regarding a potential deal.

Last week, ShoreTel rejected Mitel's revised, unsolicited proposal of $8.50 per share, which comprised of $8.10 per share in cash plus $0.40 per share in Mitel common stock, saying the offer price was significantly undervalued and deters strong prospects for continued growth and value creation.

On October 27, the ShoreTel Board had rejected Mitel's previous unsolicited proposal to acquire all outstanding common shares of ShoreTel at a price of $8.10 per share in cash.

Mitel shares are currently trading at $10.18, up 6 cents, while ShoreTel shares are currently trading at $7.51, down 70 cents or 8.53%.