AlliedSignal Presses On With AMP Bid

AlliedSignal Inc. pressed forward with its $9.8-billion takeover bid for AMP Inc., the world’s largest maker of electrical connectors, despite a judge’s ruling against key parts of the hostile offer. Meanwhile, AMP began a buyback for as much as 30 million shares at $55 each, one of the steps taken to ward off a takeover by the maker of aerospace products and auto parts. Morris Township, N.J.-based AlliedSignal said it would buy 20 million shares, or about 14%, of AMP for $890 million, or $44.50 a share. AlliedSignal previously said it might not buy the stock after an unfavorable court ruling. But the company appeared confident that it could overcome the judge’s concerns and said it would appeal a part of the decision that upheld recent changes to AMP’s “poison pill” anti-takeover plan. As of Thursday, 72% of AMP’s shares had been tendered to AlliedSignal. Shares in Harrisburg, Pa.-based AMP rose $3.56 to close at $41.31, while AlliedSignal rose $1.50 to close at $36, both on the New York Stock Exchange.