BASF crosses finish line for Pronova takeover

21 January 2013 10:35  [Source: ICIS news]

LONDON (ICIS)--BASF is to take over Norway-based omega-3 manufacturer Pronova BioPharma, after securing the required approval of over 90% of the company’s shareholders, the Germany-headquartered chemicals giant said on Monday.

BASF had received shareholder approval for 97.7% of Pronova’s share capital by Friday 18 January, the closing date of the offer period. The company is setting up a squeeze-out process to acquire all outstanding shares in the company, BASF added.

The company is paying Norwegian kroner (NKr) 13.50 (€1.81, $2.41) per share for Pronova, after raising its offer from NKr12.50 per share last week, for a total enterprise value of NKr5bn including all financial liabilities.

The new offer does not apply to shares held by majority owner Herkules Capital, meaning holders of only 50% of the company’s share capital are entitled to the improved price.

The transaction is expected to be finalised within the next few weeks. All necessary regulatory approvals have been received, BASF added.

The deal significantly strengthens BASF’s foothold in the omega-3 sector, according to Michael Heinz, BASF’s board member with responsibility for performance products.

“We aim to combine Pronova’s strong expertise and good position in the market for omega-3 fatty acids with BASF’s worldwide market presence and technical know-how,” he said.

($1 = €0.75, $1 = NKr5.61, €1 = NKr7.46)

By: Tom Brown
+44 208 652 3214

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