K+S assumes Potash Corp will not make a hostile offer (translated)
K+S, the listed German potash and salt producer, assumes that Canadian rival Potash Corp will not make a hostile offer, according to an interview in Boersen-Zeitung.
As part of a conversation with the German-language daily, K+S Chief Financial Officer Burkhard Lohr said he believes Potash Corp will continue to consult with the German company's management if it plans a new offer.
Regarding the recent EUR 41 per-share offer from Saskatchewan-based Potash, which K+S considered too low, Lohr denied the newspaper's suggestion that K+S had set a “lower limit” of EUR 50 a share. He said the company had publicized this estimated value figure by way of illustrating why Potash Corp's offer was declined.
Lohr said K+S will examine a new offer from Potash Corp if one arrives, and assumes that Potash Corp leaders want agreement with the management of K+S in any such matter. Asked whether K+S would likely receive support from German politicians should a hostile bid be mounted, he said that ever since Potash Corp had expressed intentions, the German company has experienced much support from the political sphere.
To a question as to whether K+S is seeking a white knight, which the newspaper defined as an investor prepared to pay a suitable price and offering a future vision more attractive to the company, Lohr said K+S is examining all available options in order to act in its shareholders' best interests.
On being asked whether K+S would do well to gain an anchor shareholder to make takeovers more difficult, Lohr said the management is principally concerned with implementing its corporate strategy.
Source Boersen-Zeitung