22 May Akzo Hearing May Help Change PPG’s `Mindset to Quit’: SCORPEO
SCORPEO Analysis of PPG / Akzo featured by Bloomberg
Here we analysed the Dutch court action being taken by Elliott and how it may force Akzo to the table.
Our piece on the 16th predicted the Court could rule before the 1st June deadline for PPG to bid.
News out 22 May confirms the Judge will rule on the 29 May.
Akzo Hearing May Help Change PPG’s `Mindset to Quit’: SCORPEO
By William Canny
05/16/2017 10:41:18 [BFW]
(Bloomberg) —
PPG comments on May 10 stressed that they still see a positive outcome of a combination with Akzo Nobel, but somewhat backed away from previous statements they would go hostile, SCORPEO Analytics says in emailed comments.
- Notes that Elliott’s petition to the Dutch Enterprise Chamber requesting an EGM to oust the Chairman of Akzo has applied for ‘immediate relief’
- Says the outcome of this hearing may help change PPG’s “apparent mindset to quit”
- It is not “unfeasible” that the Enterprise Chamber ruling on any immediate relief could come prior to the June 1 deadline for PPG to make a formal bid
- Adds immediate relief requested by Elliott includes calling a shareholder meeting, which if the Enterprise Court agrees to an expedited decision, could be reached within ~2 weeks of initial hearing on May 22
- This means after June 1 deadline for PPG’s bid, but Elliott’s lawyers will point out time sensitive nature of application for immediate relief, as well as potential impact to public stakeholders should Enterprise Chamber rule after this deadline
- Akzo shares fall 0.3%
RELATED:
- May 14: Dutch Investor Group VEB Opposes PPG Making Hostile Bid for Akzo
- May 12: Dutch Economy Minister Kamp Continues to Support Akzo Nobel
AKZA NA Equity
Graphic Dashboard»
PPG US Equity
Graphic Dashboard»
Related tickers:
AKZA NA (Akzo Nobel NV)
PPG US (PPG Industries Inc)