VARIOUS: Volkswagen makes recommendations in MAN's attempts to buy Swedish truckmaker Scania
Record ID:
726108
VARIOUS: Volkswagen makes recommendations in MAN's attempts to buy Swedish truckmaker Scania
- Title: VARIOUS: Volkswagen makes recommendations in MAN's attempts to buy Swedish truckmaker Scania
- Date: 16th October 2006
- Summary: (EU) WOLFSBURG, GERMANY (OCTOBER 15, 2006) (REUTERS) EXTERIORS OF VOLKSWAGEN HEADQUARTERS VOLKSWAGEN LOGO ON BUILDING VARIOUS OF CARS LEAVING THE VOLKSWAGEN HEADQUARTERS AFTER THE MEETING
- Embargoed: 31st October 2006 12:00
- Keywords:
- Topics: Industry,Transport
- Reuters ID: LVAAIYYUAUM3J1CATC830UKU8VR1
- Story Text: The supervisory board of Volkswagen and the board of directors at Scania met at Volkswagen's Headquarters in Wolfsburg on Sunday (October 15, 2006), as both sides plan strategy in MAN AG's 10.3-billion-euro takeover battle for Scania.
MAN's buying of more Scania shares this week upended efforts by Volkswagen, the top shareholder of both Scania and MAN, to broker a quick and friendly deal wringing the greatest benefits from a merger that would create Europe's truck market leader.
The supervisory board of German carmaker Volkswagen will make recommendations on Sunday relating to MAN AG's attempt to buy Swedish truckmaker Scania, board deputy head and IG Metall union chief Juergen Peters said on Saturday, adding that he favoured a friendly solution.
He would not confirm which option Volkswagen would take but he said supervisory board chairman and former Volkswagen boss Ferdinand Piech was the driving force behind efforts by VW to create a European truck company.
German truckmaker MAN sweetened its bid for Scania on Thursday (October 12) and raised its stake in its Swedish rival, which opposed the revised offer and said it still significantly undervalued the company.
Now in control of 14.3 percent of Scania's voting rights, MAN said it was raising its cash-and-stock offer by over 7 percent to 51.29 euros or 475 crowns per Scania share, valuing the Swedish company at 10.3 billion euros ($12.94 billion).
Volkswagen is the biggest shareholder in both Scania and MAN, and while it has ruled out buying more Scania shares, it has left the door open to building on its 15 percent MAN stake. - Copyright Holder: REUTERS
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