Kwik-Fit could be worth up to £1 billion if it were auctioned in the coming months, according to media reports. CVC Capital, which acquired the business from Ford in 2002, is thought to be ready to appoint financial advisers. The Financial Times reports that Citigroup, Deutsche Bank, Goldman Sachs, Merrill Lynch and Morgan Stanley are all vying for the mandate.
Following Michelin’s takeover of the Viborg group, the tyre chain was integrated into the pan-European Euromaster network, and now covers the German market with more than 300 service centres, represented in most cities. Europe wide, Euromaster’s turnover totals around 1.8 billion euros (£1.24 billion) per year. The Michelin subsidiary employs over 11,000 people and sells more than 10 million tyres.
Viktor Nekrasov has been appointed the financial director of Amtel holding and the chief financial officer of the parent company Amtel Holdings Holland.
In his new role he will be responsible for corporate finance, merger and takeover deals, as well as controlling the company’s financial activities.
BorgWarner Germany GmbH, Heidelberg, has announced that the closed share purchase agreement to purchase the majority of BERU AG’s shares, has been enforced. The announcement follows confirmation that BorgWarner Germany had agreed a share purchase agreement with The Carlyle Group and a group of family shareholders. This agreement accounted for 62.21per cent of BERU AG’s shares.
As a result, two representatives of the Carlyle Group (Mr Gregor Böhm and Mr Heinrich Rutt) and two other businessman resigned from the supervisory board.
Continental AG (Hanover) is fulfilling its commitment to the EU Commission to turn over to competitors parts of Phoenix AG, which it has taken over. Freudenberg & Co. (Weinheim/Germany) is taking over the Phoenix AG’s holding in Vibracoustic, previously a joint venture, thus becoming the sole owner. Freudenberg is also purchasing Phoenix AG’s commercial vehicle air spring OEM/OES business.
Both Beru AG’s supervisory board and its executive board have approved a takeover bid by BorgWarner Inc, describing it as “fair and appropriate.” Following a meeting to discuss the subject, both boards issued statements recommended BorgWarner’s proposed price of 67.50 euros (£46.32) per share. The regular period for acceptance expires at midnight on January 24, 2005. According to a company statement, the offered price is 252.1 per cent above the 19.17 euro price the shares were originally issued at in October 1997.
The statement added: “In view of the complementary character of the planned takeover…the BERU Executive Board assumes that the employment situation at the BERU Group will not change as a result of this transaction. From the contents of the offer it is apparent that no measures are currently planned which would have a significant impact on the workforce of BERU AG or its subsidiaries.”
BorgWarner Germany, an indirect subsidiary of BorgWarner, Wilmington, USA, has officially published its takeover offer for Beru. As previously announced, the offered purchase price amounts to 67.50 euros per share. The acceptance deadline is 24 January 2005.
According to Deutsche Bank analysts, the most interesting point about the offer it’s the fact that BorgWarner does plan to opt for a “squeeze out” or a domination agreement “for the time being.” However, there is clause stating, if Beru’s AGM agrees to a domination agreement or a squeeze out within one year after publication of the offer and the price is higher than the current takeover price then BorgWarner is bound to pay the difference to those shareholders who have tendered their shares.
The closing of the share purchase agreement and the exercise of the share purchase option agreement remain subject to regulatory approval of the relevant authorities. More details are expected in the next few days.
The EU Commission has given Continental the okay for its proposed takeover of Phoenix. “Therefore, there is nothing in the way of a merger of these two historic German companies anymore and we will find ourselves well positioned to deal with the worldwide competition,“ said Continental executive board chairman, Manfred Wennemer.
A year after returning to the Frankfurt’s DAX stock exchange, Continental’s management is saying that it “has profited noticeably from its return to the DAX.”
Contrary to popular belief, smaller companies are not being forced out of the market by their larger counterparts, says a new report released by Plimsoll Publishing Ltd.
The final deadline for acceptance of the takeover offer Continental AG, Hanover, has submitted for Phoenix AG, Hamburg, has expired. Upon completion of the statutory mandated two-week deadline extension, the international automotive supplier now has more than 75.96 percent of Phoenix shares at its disposal.
Execution of the takeover now depends on the outcome of the EU commission’s antitrust investigation. The EU is expected to issue its go-ahead until October.
With the takeover of Phoenix AG, Continental AG intends to further develop its ContiTech division into one of the world’s leading specialists in rubber and plastics technology.
Phoenix AG shareholders have a last chance to accept the offer submitted by Continental AG for the takeover of Phoenix AG shares. The statutory mandated deadline for acceptance of Continental’s 15 euros per share offer is 19 July.
On 10 June Continental announced that it had reached the 50% mark in its planned takeover of Phoenix. “With 50.02% we have already attained a majority interest and feel that our confidence in procuring over 75% of the shares as targeted has been affirmed,” said Manfred Wennemer, chairman of the Continental executive board.
The company believes that the proposed merger of the two companies is good “industrial logic” and that it has offered Phoenix shareholders a good price. Following sales of around 1.8 billion in 2003 Continental’s ContiTech division see the move as a step towards strengthening its position as one of the world’s leading rubber and plastic technology specialists.
Goodyear Spain has reached an agreement with Neumaticos JM Martinez which will assist the tyre distributor switch core business from distribution to manufacturing. JM Martinez is to cease distribution of Marshal and Lassa and will concentrate on selling Goodyear brands. The Spanish press speculate that this may open the door to a Goodyear takeover of JM Martinez.
Last year there were rumours concerning a possible hostile takeover bid for Continental by ThyssenKrupp. However, ThyssenKrupp was not able to bring its steel subsidiary company to the stock exchange as planned and it seemed that the acquisition pressure had been halted. On January 15th, the ThyssenKrupp management mentioned during a press conference that they are planning “a bigger acquisition in the automotive field”. No further details were made available.
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