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SIG is worth considerably more In the interest of its shareholders, SIG’s Board of Directors rejects takeover offer from FERD/CVC; SIG is worth considerably more Last Friday, in a letter to the SIG Board of Directors, CVC Capital Partners, a British private equity firm and FERD, Norwegian parent of the Elopak packaging group, expressed their interest in taking over SIG at a price of CHF 325.- up to 350.- per share. Various conditions were attached to this offer, including the granting of exclusivity and prior due diligence. Today, the SIG Board of Directors decided, in the interest of all shareholders and the company, to reject the offer as inadequate and too low. In order to allow shareholders to decide on the optimal solution for SIG, and in view of earlier indications of interest from various parties, the Board of Directors has decided that, in addition to CVC/FERD, other interested parties should now be given an opportunity to carefully evaluate an acquisition of SIG. The Board of Directors is convinced that the value of SIG is significantly higher than the price indication mentioned by CVC/FERD. Through the strategy adopted last November, SIG, as an independent group, is in a position to generate substantial value added in the coming years, in which all its shareholders will be able to participate. The successful focusing of the group in the past two years on its core competencies and the very pleasing 2006 half-year results, which are higher than market expectations, illustrate that SIG is achieving a continuing creation of value that will benefit all shareholders. Since the beginning of 2004, the value of the SIG share has risen by over 60 percent. In recent years, SIG has evaluated potential partnerships with a number of companies and financial investors. In this context the SIG Board of Directors had also approached FERD/Elopak with regard to a possible acquisition of the Norwegian packaging group. In order to allow shareholders to decide on the optimal solution for SIG, and in view of earlier indications of interest from various parties, the Board of directors has decided that not only CVC/FERD, but also other interested parties should be given an opportunity to carefully evaluate an acquisition of SIG. Consequently, within the next few days, the Board of Directors will establish the ground rules under which potential buyers might undertake due diligence. Download Media Release 060924 News overview >> |
