SHARE
COPY LINK

TAKEOVER

MAN states ‘strategic interest’ in Scania

The German heavy truck maker MAN said on Wednesday it had raised its voting rights access in Swedish counterpart Scania to more than 20 percent, and emphasized its strategic interest in the firm.

The move could be a further step towards merging the two groups under the aegis of Volkswagen, which has major shareholdings in both.

By exercising options and “together with its existing interest of 13.35 percent and 17.22 percent of the voting rights, MAN now has access to more than 20 percent of all the voting rights offered by Scania’s capital,” a stock market statement said.

“This move by MAN underscores the company’s long-term strategic interest in its Scania investment,” it added.

MAN could be headed for a tie-up with Scania because Volkswagen, which is the dominant shareholder in both groups, was said to be keen on a merger that would create the biggest European maker of heavy trucks.

VW has reportedly favoured a three-way tie-up that would also include its own Brazilian truck manufacturing unit.

TAKEOVER

Scania bosses made pre-bid shares purchases

Two top Scania bosses made substantial shares purchases in the Swedish truck making company three weeks before majority owner Volkswagen made its take-over bid.

Scania bosses made pre-bid shares purchases
Scania CEO Martin Lundstedt. File photo: TT

Business daily Dagens Industri (DI) reported on Tuesday that CEO Martin Lundstedt bought a large number of shares on January 30th, several weeks before the offer was made. If the Volkswagen bid were to be accepted, Lundstedt would make 1.7 million kronor in profit, DI calculated.

Also finance head Jan Ytteberg bought shares on the same day to the tune of a half million profit in case of a successful German take-over. 

Due to their standing and insight into the company's affairs, Lundstedt and Ytterberg must by law report any changes to their shares portfolio to Sweden's Financial Supervisory Authority (Finansinspektionen – FI). 

"If you have insider information you cannot act based on that information regardless of whether you report the transaction to us or not," trade survey unit head Johan Allstrin told the TT news agency on Tuesday.

Any criminal probe, however, would be instigated by the Swedish police's financial crimes division.

As rumours were already swirling that Volkswagen would try to up its stake in the Södertälje-based company, some observers said they were surprised the two top managers would even ponder making such shares purchases. 

"It's remarkable that such high-level bosses dared go in and trade," net broker Avanza spokesman Claes Hemberg said about the the case. "They probably did not know about the bid, as then they wouldn't have had the courage to do so, but they should have been thinking long-term." 

SHOW COMMENTS