Lactalis crosses the finish line and conquers Parmalat. Although today is the deadline to accept the offer launched by the French group on the Italian company, the group headed by the Besnier family can already claim victory.
With the latest accessions yesterday evening, the French hold the numerical majority of the capital, to be exact, 51,83%. 198,2 million shares were delivered (more than 21% of the total), mostly coming from foreign shareholding funds, to which must be added the 29% already in the hands of the Besnier family. The only uncertainty concerns extraordinary shareholders' meetings for which a 75% majority is required.
The takeover bid is conditional on acceptances which allow the French to have an overall stake of no less than 55% of Parmalat's capital, but this effectiveness clause can always be removed by Lactalis itself. The numbers speak for themselves and it is likely to think that today it will reach and cross this threshold. But at this point, in order to save money, Lactalis agrees that membership does not reach 100%: it could thus only spend a minimum of 1,4 billion euros, and not the maximum of 3,5 billion.
The voluntary takeover bid for 2,6 euros in cash per share launched by Lactalis on 71% of Parmalat's capital has so far cost 1,3 billion euros. Today will put an end to the long and adventurous story that has been going on for several months now and which has seen the group led by Monsieur Besnier and the entrepreneurial and, partly political, world of our country.
It all began last March, when after various rumors, Lactalis announced that it had risen to 15% of the Italian group. Then, by buying shares from the Zenit Asset Management, Skagen and Mackenzie Financial funds (at 2,8 euros per share), the French group had reached 29% of the capital, just below the threshold that triggers the mandatory takeover bid. It was then that the Italian government and business world began to hinder the French takeover. The Executive approved a law that allowed former CEO Enrico Bondi to move the date of the meeting to the end of June. So that there was time to organize a consortium, led by Intesa Sanpaolo, to oppose Lactalis.
While the Italians were trying to organize themselves, on April 26 Lactalis announced, with great surprise, the launch of a total takeover bid with the aim of realizing a "significant industrial project". The Italian consortium, strongly desired by Minister Tremonti, however, failed to materialize. On the one hand due to the huge expense that would have involved, on the other due to the reverse of the Ferreros, the French had free rein and began their climb.
On June 29, the new board of directors was appointed and confirmed the dominance of the French. Lactalis, already strong in his share, has appointed the new president, Franco Tatò, and 8 other transalpine men have joined the board.
The Italians continue to hold on. The Council of State will decide on Tuesday 12 July whether the takeover bid can be considered legitimate. Codacons, which presented the appeal, is asking for the entire financial transaction to be suspended because it is "not very transparent".
Today Parmalat shares gain 0,94% at 10.30. But it remains to be seen what will happen to the stock when it can no longer count on the 2,6 euro of the takeover bid and it will be necessary to evaluate the solidity and results of the company. "Basically I believe that Parmalat will return to trading on values closer to the fundamentals, which are not particularly exciting," commented a manager. But he wonders if French charm will continue to have a positive effect on the markets.
