Investor Repeats Scania Merger No Necessity
Investor AB, the investment vehicle of Sweden’s powerful Wallenberg family, repeated on Thursday merging Scania with another firm was a possibility and not a necessity.
Investor said it would continue to support Scania’s development as a stand-alone company, but would evaluate any possible industrial partnerships.
According to the firm, the company ”can see long-term industrial merits in combining Scania’s and MAN’s businesses, given that the execution is handled in the right way.”
The holding company, which has rejected MAN’s bid, is working together with the Wallenberg funds.
Together they own shares equal to 30.6 percent of votes in the Swedish truck maker and can block a takeover.
Volkswagen, which has also rejected MAN’s hostile bid, is the biggest owner of both Scania and MAN, an industrial conglomerate including trucks and other engineering businesses.
MAN launched a hostile bid for Scania in September last year and later raised its cash and stock offer.
The bid, currently worth around US$ 13.50 billion, has been fiercely opposed by Scania’s management and board.