VDL Groep abandons offer on Neways
VDL Groep B.V. (VDL) will today announce that the industrial family business has decided not to make its previously announced public offer for all issued and outstanding shares in the capital of Neways Electronics International N.V. (Euronext Amsterdam: NEWAY) (Neways). Failure to match the alternative offer means that the irrevocable undertakings previously obtained from three major shareholders of Neways to offer their shares to VDL will lapse.
After VDL announced on Friday 30 April 2021 that it was in talks with Neways about a proposal to make a public offer for the shares of Neways, VDL announced on Wednesday 19 May 2021 that the consultations on a possibly supported public offer had ended. The reason for this is that the management board and the supervisory board of Neways do not support a public offer based on the increased offer price of EUR 13.00 in cash, despite the broad support of at least 68.70% of the shareholders of Neways for that offer price. On Friday 28 May 2021, VDL nevertheless announced that it would make a public offer for all Neways shares. After Neways and Infestos announced on Thursday 24 June 2021 that they had reached an agreement on an offer, supported by the management board and the supervisory board, with a price of EUR 14.55 in cash, VDL announced on Friday 25 June 2021 it was going to consider the new situation.
VDL is convinced of the added value that a combination of Neways and VDL could have provided for all Neways stakeholders. Nevertheless, VDL has decided not to increase the offer price below its initial offer, and not to make the previously announced offer.