PPR, through its subsidiary SAPARDIS, officially published the offer document for the friendly voluntary takeover offer to the outside shareholders of PUMA AG. As already announced on April, 10, SAPARDIS is offering 330 in cash for each PUMA share. The offer price values PUMA at 5.3billion equity value.
This implies a 24% premium on the undisturbed one-month weighted average share price as of April 3 (268.14), which has been the last day before the first takeover rumors surfaced, and a 17 % premium on the weighted average domestic stock exchange price of PUMA shares during the last three months prior to the publication of the decision to launch the offer (281.04).
PPR already holds 27.1 % of the registered share capital of PUMA (4,333,185 shares) and offers to acquire all other PUMA shares in issue (approximately 72.9 % of all PUMA shares) at a price of 330 per PUMA share.
The Acceptance Period starts today and ends on June 20, 2007. PPR anticipates to complete the offer process early July.
Francois-Henri Pinault, Chairman and CEO of PPR, comments: “Our compelling offer enjoys the full support of the management team and represents a unique opportunity for all Puma shareholders. On the heels of our acquisition of a 27.1% controlling stake at a price of 330 per share, we are offering all other Puma shareholders the same terms.”
PPR expects that PUMA will continue to exist as a separate legal entity within the PPR Group and currently does not intend to enter into a domination and profit pooling agreement with PUMA. Furthermore, PPR does not currently intend to pursue a delisting of the PUMA shares.
PUMA will remain headquartered in Germany. There is no current intention to relocate the seat or the existing main R&D and manufacturing locations out of Germany. In addition there is no intention to reduce staff due to this transaction.
The publication of the offer document was approved by the Federal Financial Supervisory Authority (Bundesanstalt fur Finanzdienstleistungsaufsicht – BaFin) on May 10, 2007. The offer document was published on May 14, 2007.
The offer is conditional upon merger control clearance by EU and US competition authorities. There is no minimum acceptance threshold set as a condition of the offer.
