Stefan Quandt, the heir to the Quandt family that holds control over German carmaker BMW AG has called German regulators Bafin to allow an exemption from the takeover regulations that might compel him to make an offer to purchase the entirety of the company.
After the passing away of BMW shareholder Johanna Maria Quandt last week, her two children have gained control over her 16.7 percent voting stake in the German luxury automaker. According to a spokesperson for the Quandt family who talked to Reuters, as a result Stefan Quandt’s voting holding in BMW has jumped to 34.19 percent, past the 30 percent limit that automatically initiates a mandatory takeover offer under German regulations. “Stefan Quandt lodged a request for an exemption with the regulator yesterday,” said the family spokesperson. Bafin was called for comment, but the regulators refrained from saying anything other than its policy is not to discuss individual cases.
On the other hand, the spokesperson explained that it might be possible to have the exemption granted from the mandatory purchase offer if the stake package has been gained through divorce, inheritance or via a gift between close family members such as a spouse. Quandt is also asking for the exemption because the legal and takeover proceeds have artificially raised temporarily his stake by double-counting the votes in the BMW package owned by his mother Johanna. Stefan had control over 17.4 percent of BMW’s shares and his sister Susanne Klatten had a 12.5 percent holding, with their mother Johanna Quandt owning another 16.7 percent – the entire family had control over 46.6 percent. “There is no change in the size of the family stake, and no change in BMW’s freefloat,” added the family spokesperson.