The German retail behemoth rejected a takeover, arguing that it “substantially undervalues” the company
who apparently likes to keep a low profile, Daniel Kretinsky makes a lot of headlines. In March journalists ofbattled to prevent the inscrutable Czech oligarch from taking control of the prestigious French daily. On June 23rd the management of Metro, a German retail behemoth based in Düsseldorf, rejected a €5.
What does the Francophile Mr Kretinsky, who made his money in the energy industry, want with a struggling German retailer? According to Bruno Monteyne atBernstein, a research firm, he saw an opportunity to buy—on the cheap and with outside finance—a retailer still in the process of transformation. Metro was once a retail conglomerate with activities stretching from consumer electronics to department stores.
Messrs Kretinsky and Tkac have four weeks to submit their offer to German regulators and Metro’s board. They can either stick to their stingy bid or increase it in the hope of winning over Meridian and other shareholders.Global Commerce will only buy the rest of the Haniel shares if this gets it across a threshold of 75% of votes at the annual meeting. This would trigger a “domination agreement” that lets it exercise full control of the group’s cashflow without owning 100% of the company.
If they fail, Metro will have two large, unhappy shareholders: the eastern Europeans, with 7.3% plus options to buy Ceconomy’s 9%, and the Haniels, with 15.2%. Mr Koch may struggle to find a taker for their stakes at a time when traditional retail is threatened by e-commerce. Metro’s annual sales of €36bn remain hefty. But they are in decline, as are profits. A counter-bid could come from farther east—an Asian buyer interested in more than Metro’s Chinese arm.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
My daughter came out as trans, and it saved my marriage - Today's ParentMy daughter came out as trans, and it saved my marriage — PrideMonth Pride365
Read more »
Chance The Rapper's First Two Mixtapes Have Officially Hit Streaming Services.chancetherapper’s 10Day and AcidRap are available on streaming, and all is good with the world 🙏
Read more »
What Do Cardi B and St. Vincent Have in Common? A Taste for Couture, ApparentlyIt seems the two artists are unlikely kindred style spirits.
Read more »
Three Cheers For KKW's Second Sunglass Collaboration With Carolina LemkeThe drop, which is available starting July 10th includes two new styles that go with everything:
Read more »
Europe heatwave: two dead in Spain, France hits record high of 45.1CTemperatures in some parts of Spain are expected to soar past 43 degrees Celsius as other western European countries also wilt under the sweltering heat.
Read more »