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BASF extends Engelhard offer for 4th time
BERLIN (AP) -- German chemical company BASF said Monday that it is again extending its $4.9 billion takeover offer for Iselin-based specialty chemicals company Engelhard Corp. and has yet to decide whether it will revise its bid.
Engelhard has been resisting the hostile $37-per-share offer from BASF, which has its North American headquarters in Florham Park.
The tender offer, which had been scheduled to expire Friday, has been extended until April 28, BASF said in a statement. It is the fourth time the offer has been prolonged.
As of Friday, 654,180 Engelhard shares had been tendered, BASF added.
The board of Engelhard has repeatedly called the offer inadequate and advised shareholders not to tender their shares.
"The shareholders basically feel that $37 is inadequate," Engelhard spokesman Mark Drasner said Monday. He noted that only about 0.5 percent of the 120 million shares outstanding have been tendered.
BASF previously said it is prepared to raise its offer but will not overspend to acquire Engelhard. It has not specified what price it would consider too high.
The German company said Monday that, on April 11, it received a letter from Engelhard's financial adviser "in which Engelhard requested a firm offer no later than April 19."
"BASF continues its review of nonpublic information provided by Engelhard and has not decided whether to submit a revised offer to Engelhard's management and, if it does, at what price," it added.
BASF got access to Engelhard's books after it signed a confidentiality agreement with the company.
Regulatory clearance for the proposed deal has already been granted in the United States and Europe.
Engelhard stock rose 6 cents to close at $39.42 on the New York Stock Exchange. It had been trading in the high $20s before the BASF offer.
In Germany, markets were closed for the Easter Monday holiday. On Thursday, the last day of trading in Frankfurt, BASF shares closed up 1.1 percent at 64.15 euros ($77.73).
On the Net:
http://www.engelhard.com/
BASF extends Engelhard offer for 4th time
BERLIN (AP) -- German chemical company BASF said Monday that it is again extending its $4.9 billion takeover offer for Iselin-based specialty chemicals company Engelhard Corp. and has yet to decide whether it will revise its bid.
Engelhard has been resisting the hostile $37-per-share offer from BASF, which has its North American headquarters in Florham Park.
The tender offer, which had been scheduled to expire Friday, has been extended until April 28, BASF said in a statement. It is the fourth time the offer has been prolonged.
As of Friday, 654,180 Engelhard shares had been tendered, BASF added.
The board of Engelhard has repeatedly called the offer inadequate and advised shareholders not to tender their shares.
"The shareholders basically feel that $37 is inadequate," Engelhard spokesman Mark Drasner said Monday. He noted that only about 0.5 percent of the 120 million shares outstanding have been tendered.
BASF previously said it is prepared to raise its offer but will not overspend to acquire Engelhard. It has not specified what price it would consider too high.
The German company said Monday that, on April 11, it received a letter from Engelhard's financial adviser "in which Engelhard requested a firm offer no later than April 19."
"BASF continues its review of nonpublic information provided by Engelhard and has not decided whether to submit a revised offer to Engelhard's management and, if it does, at what price," it added.
BASF got access to Engelhard's books after it signed a confidentiality agreement with the company.
Regulatory clearance for the proposed deal has already been granted in the United States and Europe.
Engelhard stock rose 6 cents to close at $39.42 on the New York Stock Exchange. It had been trading in the high $20s before the BASF offer.
In Germany, markets were closed for the Easter Monday holiday. On Thursday, the last day of trading in Frankfurt, BASF shares closed up 1.1 percent at 64.15 euros ($77.73).
On the Net:
http://www.engelhard.com/
posted by Jones Lang LaSalle NJ News Blog at 12:29 PM
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