VIPsight - July 2011

COMPANIES

Gerry Weber replaces Tognum

The Deutsche Börse has announced that the Gerry Weber share is again listed in the MDAX as of 29 June, after eight years of absence. As a reason for changing,the exchange operator stated on 27 June that the free float of Tognum had fallen below the required threshold of ten percent after the takeover by Daimler and Rolls-Royce, so the engine manufacturer’s stock had been removed from the index. The return to the stock exchange’s second league has been a strategic goal of the fashion group for a year. The market value finished at rank 48 on the index list, keeping other MDAX aspirants like Deutz or Jungheinrich at bay.

VW apparently collects more than a 50 percent stake in MAN

Volkswagen’s mandatory offer for MAN has allegedly been well received. According to Reuters, more shareholders than initially expected had accepted the the Wolfsburg firm’s takeover offer. Both DAX-listed companies declined to comment.

Terex acquires Demag Cranes

Terex has secured the majority for its voluntary takeover offer for Demag Cranes. According to preliminary information, approximately 67 percent of Demag’s shares had been tendered. The Americans had not initially been able to convince Demag investors of their plans. The Board and Supervisory Board gave up their initial resistance only after the competitor had raised its offer price in mid-June from €41,75 by €3.75 per share to €45.50, raising the bid to almost one billion euros. Together with previously purchased shares Terex now holds about 68 percent.

Meyer Burger controlls Roth & Rau

Meyer Burger, after the expiry of the second acceptance period on 28 June, holds 81.89 percent in Roth & Rau. The €22 per share offer persuaded Jürgen Gutekunst too to relinquish his shares. The remaining free float is unattractive, since participation was sufficient to slim down the value of the TECDAX company and exercise effective control. Whether the Saxon solar engineering company is to be taken off the stock exchange by the Swiss solar company is still open. According to analyst estimates the company still has a weak position. A turnaround is expected in the coming months, which should see positive momentum from the collaboration.

Turbulence at Bilfinger

As the news magazine “Der Spiegel” reported, German and U.S. authorities are investigating Julius Berger Nigeria PLC, a 49-percent subsidiary of the MDAX-listed construction group Bilfinger Berger. In order to secure new orders, the company allegedly systematically paid bribes until a few years ago. In America, where the investigations have been running since late 2010, a two-digit million penalty threatens. Already in January this year, U.S. law firm DLA Piper had submitted an internal report to the Board.

Schiffsbank takeover must wait

The government aid Commerzbank received during the financial crisis, in the form of a silent partnership in the amount of €18.2 billion, bars, according to a European Commission requirement, the acquisition of other banks until 30 April 2012, or alternatively until the government aid is repaid. In the wake of the takeover of Dresdner Bank, Commerzbank had, before the crisis, purchased shares in Deutsche Schiffsbank, with the aim of bringing together various shipping-loan portfolios there. After a capital increase at the Hamburg ship financier, the Frankfurt bank had raised its share from 80 to 92 percent in 2009. With Unicredit, Commerzbank is now negotiating the acquisition of the outstanding eight percent. In early June, Commerzbank carried out a capital increase to make the repayment of the government’s silent partnership possible.

Heideldruck has new statute

At the AGM on 28 July shareholders should approve the change of business purpose. By now, the business beyond the print area constitutes so large a proportion of total business that the company wants in future to list other products and services and consulting services in the area of ​​mechanical engineering, electronics and electrical engineering as well as in the metal industry as objects of business.

Oman checks Hapag’s books

According to Financial Times Deutschland, the Omani State fund has sent TUI a letter of intent making known the Arabs’ intentions to purchase parts of the shipping subsidiary Hapag Lloyd. Accordingly, the Oman Investment Fund is currently checking the books of the Hamburg shipping company and wants to buy TUI’s shares. Also interested is the Chinese conglomerate HNA, which seeks a majority stake in Hapag-Lloyd. The majority shareholder, the Albert Ballin consortium, wants, however, to secure the site in Hamburg. TUI now puts its 38.4 percent stake in the shipping company at a value of €1.1 billion.