PSA pulls out of bidding for P&O

PSA pulls out of bidding for P&O    PSA International said today it will not make a higher counteroffer for Peninsular and Oriental Steam Navigation Co., ending a two-month bidding war and clearing the way for Dubai-based DP World to buy P&O.
   DP World in late November started out with a $5.7 billion offer for London-based P&O, which operates 29 container terminals in 18 countries. But Singapore-based PSA made an offer of $6.33 billion in January, causing the P&O directors to back off the original deal with DP World.
   DP World made a counteroffer the next day, upping its bid to $7 billion. After reviewing that offer, PSA decided to withdraw from the purchase attempt.
   In an announcement today, the P&O directors said they were recommending that stockholders accept the revised DP World offer, adding 'The combination of P&O and DP World has compelling strategic logic and will create significant opportunities for both businesses and their employees.'