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Aker jumps, Schneider Electric slips on 'very expensive' unit M&A deal

BUZZ-Aker jumps, Schneider Electric slips on 'very expensive' unit M&A deal

** Shares in Aker AKER.OL jump about 7%, while Schneider Electric's SCHN.PA slip 2.3%, after the Norwegian investment company agreed to sell its 50.5% stake in Cognite to the French firm for an EV of about $3.1 billion

** J.P. Morgan sees the acquisition as "very expensive, slightly unhelpful", adding the valuation was "hard to get behind" regardless of strategic fit

** "All software assets are frowned upon in the first instance by generalist investors, given the evolving AI disruption narrative," JPM adds

** Estimated net proceeds to Aker amount to around $1.48 billion, according to Arctic Securities

** The transaction implies a NAV uplift of around 100 crowns per share, Arctic Securities says, bringing Aker close to a net cash position

** The broker adds the transaction removes valuation uncertainty related to the Cognite stake and strengthens Aker's track record in executing value-enhancing transactions


(Reporting by Jesus Calero and Leo Marchandon in Gdansk)

((leo.marchandon@thomsonreuters.com))

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