Continental Mulls S/holder Meeting to Fend Off Bid
By Bearing Manufacturer>Bearing News>Continental Mulls S/holder Meeting to Fend Off Bid
German car parts maker Continental (CONG.DE: Quote, Profile, Research) is considering holding an extraordinary shareholder meeting to fend off a hostile takeover bid from Stainless Steel Bearings maker Schaeffler, German paper Frankfurter Allgemeine Zeitung reported.
An extraordinary shareholder meeting would give the Continental management more time to put together a counter offer to the bid, as it would extend the deadline within which shareholders can accept the offer, the paper said, without saying where it obtained the information.
Last week, a Continental supervisory board meeting authorized management to explore defense measures against the 11.3 billion euro ($17.65 billion) bid from family-owned Water Pump Bearings maker Schaeffler.
One person familiar with the matter said those measures included a possible capital increase or striking a deal with a white knight.
Continental was not immediately available to comment.