Russian mogul bids to rule Swiss steelmaker
Viktor Vekselberg, a Russian tycoon, had initiated a bid to rule Schmolz+Bickenbach, a Swiss steelmaker on Friday. He made the offer following his failure to gain support from stockholders. The company's investors didn't back him up with the plan to raise more money and appoint his desired candidate on the firm's board.
Renova, Vekselberg's investment medium, consented to pay Schmolz+Bickenbach GmbH & Co KG. For 20.46% claim on the Swiss company, Renova would disburse around Swiss francs 58 million. The aforesaid money would be paid to the company founders. Schmolz+Bickenbach GmbH & Co KG were both keeping a similar stake.
The two parties joined in a clash for a restructuring at Schmolz+Bickenbach. After that, they had already been allies. Their venture allowed them to combine shares resulting at a stake of 40.46%.
In a statement made by Renova's affiliate, Venetos Holding AG said it would propose a bid on July 12 of Swiss francs 2.85 for every Schmolz+Bickenbach share. However, the offer made was below the concluding price of Swiss francs 2.90 on Friday.
Finally, the tender offer is about Swiss francs 200 million for the outstanding 59.5% of Schmolz+Bickenbach which, Renova and S+B KG have not owned yet.