MAN announced that VW is interested in buying the company’s shares from the minority shareholders, offering 80.89 euro per share.
This move is part of VW’s plan to gain full control of MAN, but the offered price represents a 7.1% discount to MAN’s closing stock price yesterday, March 21st, of 87.10 euro on Frankfurt’s XETRA. In June 2012, VW increased to 75.03% its share of voting rights in MAN, preparing its strategy for a total domination to be put in place.
In January 2013, VW and MAN said they plan to enter a profit and loss transfer agreement, MAN being the controlled company, in order to develop an integrated commercial group. If the MAN-VW merge will succeed, the German automaker will become the biggest manufacturer of heavy trucks in Europe, surpassing Volvo and Daimler.
Yesterday, March 21st, MAN spokesman said that the company’s board and the management of Truck & Bus, which is VW’s wholly-owned subsidiary, agreed that the profit and loss transfer agreement will offer a cash compensation of 80.89 euro per share to the minority shareholders of MAN. The shareholders who will reject the offer, will get a guaranteed annual dividend of 3.07 euro per share.