QVC Network Inc chairman Barry Diller says he is all done bidding for Paramount Communications Inc, and will not raise his offer despite the new one from Viacom Inc: the paper element of QVC’s bid is so much more highly valued by the market that although the cash portion – for 50.1% of the shares – is lower, the total valuation is seen as higher – although the cash element is for 50.1% of the shares, the cash in such bids does not go to the holders of the first 50.1% of the shares tendered; all holders ultimately have to settle for some cash and some paper; Paramount was yesterday expected to reject the new Viacom bid and maintain its recommendation of the QVC offer.
