|Over a month ago|
Osram resumed with a Hold at Deutsche Bank » 06:4507/0707/07/20
Deutsche Bank analyst Uwe…
Deutsche Bank analyst Uwe Schupp resumed coverage of Osram with a Hold rating and EUR 41 price target. The analyst likes the new AMS/Osram combo and notes the takeover is expected to close on July 9.
|Over a quarter ago|
Osram resumed with a Hold at Deutsche Bank » 08:5012/2312/23/19
Deutsche Bank analyst Uwe…
Deutsche Bank analyst Uwe Schupp resumed coverage of Osram with a Hold rating and EUR 44 price target.
Auto parts suppliers fall amid China subsidy concerns, earnings commentary » 15:5511/1311/13/19
OSAGY, BWA, ALV, MGA, DAN, LEA, DLPH, CTTAY
Shares of auto suppliers…
Shares of auto suppliers including Delphi Technologies (DLPH) and Lear Corporation (LEA) are declining after a media report that China could cut its electric car subsidies. CNN Business columnist Michelle Toh wrote on Tuesday that, according to recent industry data, the Chinese market for electric vehicles could drop this year. The CNN columnist cited data from the China Association of Automobile Manufacturers that "the sales of electric, hybrid and fuel cell cars plunged by over 45% in October, marking four straight months of declines in the sector." INSUFFICIENT DEMAND IN CHINA: According to CNN, the assistant secretary-general of the China Association of Automobile Manufacturers said, " Because of the insufficient demand of the domestic market, the pressure for automakers to upgrade their technology to the national standard, and the major subsidy cuts for new energy vehicles, the recovery of production and sales is still limited. Based on the current developing trend, we may see negative growth for new energy vehicles this year." SUPPLIERS CUTTING COSTS: According to Reuters, Continental AG (CTTAY) and Osram (OSAGY) plan more extensive expense reduction after reporting "weaker" results on Tuesday, "as a global slowdown hits the car industry." Additionally, Delphi, an international auto supplier, cut its FY19 EPS and revenue view, citing moderating growth in all regions. Hari Nair, interim CEO of Delphi, said while speaking to investors in late October, "Growth in all regions, especially China, moderated significantly." PRICE ACTION: Shares of Continental are down almost 2%, while Delphi is lower by over 3%. OTHERS TO WATCH: Shares of other auto suppliers are also falling, including BorgWarner (BWA), Autoliv (ALV), Magna (MGA), Dana (DAN), and Lear (LEA).
AMS AG to launch new EUR41 per share takeover offer for Osram » 11:2610/1810/18/19
ams AG (AMSSY) announces…
ams AG (AMSSY) announces that it intends to launch a new all-cash takeover offer for Osram Licht AG (OSAGY) for 100% of the share capital of Osram at a price of EUR 41.00 per share. The Offer which represents a premium of 42% to the undisturbed Osram share price of EUR 28.92 as of 2 July 2019 will be launched by ams Offer GmbH, a newly incorporated, wholly owned subsidiary of ams. ams is the largest shareholder in Osram with a direct shareholding of 19.99% which ams will not exceed outside of the offer. As a result of ams' shareholder position, ams has lowered the minimum acceptance threshold to 55%. Alexander Everke, CEO of ams, said, "We are convinced that our offer will be successful as it provides a highly attractive, fully valued price at a straightforward acceptance threshold. As the pre-eminent Osram shareholder at 19.99%, we are furthermore convinced that this Offer is the best available option for Osram shareholders. The strategic rationale of creating a global leader in sensor solutions and photonics, with strong European roots, is unchanged and offers a compelling opportunity for Osram, ams and our shareholders. We are in constructive discussions with Osram to update the existing Cooperation Agreement, clearly underpinning our commitments to employees and manufacturing locations in Germany. We appreciate the fruitful discussions with the Management and Supervisory Board of Osram and look forward to working alongside the present Osram Management Board to realize our strategic vision."
Osram says Advent, Bain Capital do not plan takeover offer for time being » 11:2210/1810/18/19
Osram Licht AG announced…
Osram Licht AG announced that the company received a letter from the consortium consisting of the financial investors Advent and Bain Capital. "According to that letter, Bain Capital and Advent have decided to not conduct any further due diligence. For the time being, the plan to submit a voluntary public takeover offer for all outstanding Osram shares will not be pursued further. The consortium said that they currently do not see a successful path to an offer. In the last days, Osram engaged in constructive discussions with ams AG about the conditions for a new takeover offer. The Managing Board welcomes the progress made to far and is confident that both parties can agree on a future oriented strategic concept. Osram will further inform the capital market in due course about the progress of this development," the company stated.
Osram takeover offer by ams did not meet minimum acceptance threshold » 12:5010/0410/04/19
ams announces that the…
ams announces that the minimum acceptance threshold of 62.5% required in conjunction with the all-cash takeover offer for Osram was not achieved. The final acceptances level was 51.6%. As a result of purchases prior to the expiry of the ams offer, ams is currently the largest shareholder in Osram with a direct shareholding of 19.99%. ams will not exceed this current direct shareholding of 19.99% before having obtained required merger control and other regulatory clearances, the company. It said, "ams continues to view the combination of ams and Osram as strategically compelling given that it would enable the creation of a global leader in sensor solutions and photonics. To this effect and supported by ams shareholders, ams continues to explore strategic options to pursue the acquisition of Osram, on the basis of its shareholding position, as this will translate into a stronger combined company."