The Volkswagen Group, Europe’s largest automaker, on Thursday has received approval from Chinese authorities to increase its stake in MAN, the final hurdle in the takeover process.
Approval by the Chinese competition authorities marks the completion of all regulatory clearances necessary for settlement. Settlement of the mandatory offer and the associated majority acquisition in MAN SE is expected for November 09, 2011.
Europe’s largest carmaker will own 55.9 percent of MAN’s voting rights after the deal closes, the Wolfsburg, Germany- based company said today in a statement.
The move adds a second company to VW’s truck business, on top of Swedish company Scania.
VW also owns 70.94 percent of the voting rights in Scania, while MAN owns another 17.4 percent.
The announcement comes shortly after the German truck maker MAN SE said third-quarter net income attributable to shareholders dropped to 166 million euros or 1.13 euro per share – from 179 million euro last year.
Operating profit edged down 1 percent to 321 million euros from an ‘extremely stronger’ prior-year quarter, the truck maker noted.
VW, which aims to surpass Toyota as the world’s biggest carmaker by 2018, said the current take-up of its tender offer was in accordance with its expectations.