VW makes official offer for MAN trucks

The biggest European automaker, Volkswagen, on Tuesday published an official takeover offer for the heavy truck manufacturer MAN, which VW wants to fold into a new truck behemoth. VW made its "mandatory public offer to all third-party shareholders of MAN SE for their shares" at a price of 95.00 euros ($136.80) for ordinary shares and 59.90 euros for preference share. The offer period began on Tuesday and runs until June 29, with the deal subject to regulatory approval, "including merger control clearances," a VW statement said. "This offer represents a further step by Volkswagen towards the creation of an integrated commercial vehicle group consisting of MAN, Scania and Volkswagen," it added. VW said on May 9 that it held more than 30 percent of MAN, meaning that under German law VW was obliged to make an offer for all outstanding shares in the group which also makes diesel engines and industrial turbines. MAN is to be combined with the Swedish truck maker Scania and Volkswagen's own commercial vehicle unit to create a major manufacturer of heavy trucks. VW owns 45.66 percent of the shares in Scania, along with 70.94 percent of the voting rights, while MAN owns another 13.35 percent of Scania's stock. Anti-trust restrictions have posed hurdles for a tie-up of heavy vehicle activities from all three brands however, VW noted earlier this month. Meanwhile, VW is also striving to finalise its takeover of Porsche, which is slated to become the group's 10th brand once legal problems have been resolved.