2023-06-22 09:47:49 ET
Covestro ( OTCPK:CVVTF ) ( OTCPK:COVTY ) has rejected an initial takeover proposal from Abu Dhabi National Oil Company as too low, Bloomberg reported Thursday.
The German plastics and chemical company told Adnoc CEO Sultan Al Jaber in a letter that the proposed valuation does not provide ground for further talks, according to the report, which also said Covestro ( OTCPK:CVVTF ) ( OTCPK:COVTY ) could be open to discussing a deal if it were offered better terms.
In a recent meeting with Covestro ( OTCPK:CVVTF ) ( OTCPK:COVTY ) leadership, Al Jaber reportedly proposed a potential bid in the mid-€50s/share, which would value the company at nearly €11B.
Covestro ( OTCPK:CVVTF ) ( OTCPK:COVTY ) shares jumped as much as 3.7% in Frankfurt on Thursday, hitting the highest intraday level in nearly three months.
More on Covestro:
- Financial and valuation comparison to sector peers
- Analysis: Covestro: A Takeover Makes Strategic Sense But There May Be Obstacles
- Stock price return: Up 23% YTD, up 12.5% in the past 12 months
For further details see:
Covestro rejects Adnoc takeover proposal - Bloomberg