08.06.2011

Demag considers talks

Industrial and port crane manufacturer Demag says it is considering an invitation from Terex to talk about its €41.75 cash offer for the business which expires at the end of the month.

At the same time Terex has reiterated its intention to allow the offer to expire, if more than 51 percent of Demag shareholders have not accepted its current and “final” offer by the initial closing date of the end of June. It has always stated that it will not be drawn into a bidding war.

Demag shares have been edging down lately, from around €47 to €44.6 today as time passes without another bidder arriving on the scene.

Vertikal Comment

This deal looks like going all the way, will Demag and Terex talk? If so what about both have been quite clear- one says the offer is derisory the other says ‘take it or leave it – it’s a final offer’.

On the surface the Demag management looks to be the one that is wavering, Terex could get its target after all? Only time will tell.