Granada’s surprise bid for Forte has all the makings of a long-running
and bloody battle.
The media made much of the supposedly stark contrasts between Granada’s
Gerry Robinson and the incumbent Sir Rocco Forte in numerous personality
profiles.
Beyond the personality peg, Granada won the opening round, with its
criticisms of Forte’s management track record and its supposedly
inadequate return to investors.
The latter debate will hinge on whether Forte can convey that two years
is a better frame of reference rather than Granada’s preferred five-year
span.
Opinion was almost evenly split as to which management team will be best
able to grow the company.
Points to Forte included doubt expressed, both independently by
journalists as well as Forte, about Granada’s ability to manage hotels.
Doubt was also expressed about how Forte would fit into Granada’s
corporate structure.
The bottom line was that most of the few opinions ventured about the
likely winner fancied Granada’s chances. There was an important
provision: the initial offer will have to be beefed up to ensure
success.
