Titan makes European operation takeover approach

The odd ownership dance between Titan International and Titan Europe has kicked up again, with new reports that the US company has made an offer for some or all of the shares in the European operation.

In an official statement from the company, the board of Titan Europe acknowledged recent press speculation to this effect and confirmed that it has received an approach from Titan International Inc, which “may or may not lead to an offer being made for the whole of the issued share capital of the company.

That said, company representatives were at pains to point out that “there can be no certainty that a formal offer will be made for the company or the terms on which such an offer may be made” at this stage. One complicating fact is that, as a result of certain directors of Titan Europe being directors of Titan Inc, an Independent Committee of the board has been formed in order to dispassionately consider any offers made.

Titan Europe’s statement added that, Titan Inc must either announce a firm intention to make an offer for the company back down by no later than 17:00 on 14 August 2012. As of the close of business on 16 July 2012, Titan Europe’s issued share capital consisted of 87,642,988 ordinary shares with a nominal value of 40 pence each. 

In past years, Titan International has considered buying out Titan Europe, but was never able to work out a deal.