Recticel: Drops after low-ball bid from Greiner

Recticel SA

17/05/2021 12:19

(Adds share move, milestone)
    ** Shares in Recticel  RECT.BR  drop as much as 13% after
the Belgian plastics company gets a bid from Austrian rival
Greiner AG which is pitched below its last closing price  
    ** Unlisted Greiner said on Friday it planned to bid 13.50
euros per share in cash for Recticel, a 17.3% premium over the
six-month volume weighted average share price https://bit.ly/2QqH7dW
   
    ** The price implies a discount of more than 10% to
Thursday’s price of 15.12 euros
    ** Greiner also said it had agreed to buy Compagnie du Bois
Sauvage's  CBOS.BR  27.03% stake in Recticel
    ** ING says the offer significantly undervalues Recticel. It
values the remaining shares at 23.5-25 euros
    ** KBC Securities says it has no clear visibility on
Greiner's balance sheet. It points out that Greiner knows
Recticel well as both companies were previously partners in the
Eurofoam flexible foams joint venture
    ** Recticel shares are down 8.4% at 13.84 euros at 1100 GMT,
heading for their worst day since March
    ** Among the four analysts that cover the company, three
rate it "strong buy" or "buy" and one "hold"
    

 ((anait.miridzhanian@thomsonreuters.com))