Scania's fate could be decided by Volkswagen today - report (translated)
Volkswagen (VW), the German auto giant, could today make a decision on whether to increase its ownership in the Swedish truck maker, Scania, Dagens Industri reported.
The Swedish business daily reported VW’s board is to discuss its 2013 report today. However, the paper wrote, citing press reports, the Scania matter is also a priority.
VW had earlier hoped to gain synergies worth SEK 1bn (EUR 111m) from a collaboration between Scania and its German peer, MAN, which is also controlled by VW. However, these synergies have not come to pass, therefore, VW is considering taking full ownership in Scania to facilitate a deeper collaboration between the two truck companies, the report noted.
Scania’s share price has risen almost 10% since early February when it was reported VW might be considering making an offer for the remaining shares in Scania. The item noted Scania’s share was also one of the most successful shares on the stock exchange yesterday and the share price is at its highest since July last year.
The paper noted VW currently owns 88.3% of the votes and 59% of the capital in Scania and it could cost around SEK 50bn-60bn (EUR 5.6bn-6.7bn) to buy out the Swedish company’s minority shareholders.
Source Dagens Industri