Kuka investor Voith says positive stance on Midea bid premature
Kuka (KU2G.DE) management's positive stance toward a 4.5 billion euro ($5 billion) takeover bid by China's Midea (000333.SZ) is premature, the chief executive of the German firm's major shareholder Voith VOITH.UL said on Monday.
Unlisted mechanical engineering group Voith holds 25.1 percent of the shares in German factory robot maker Kuka, allowing it to block strategic decisions.
"The [Kuka] board said it was assessing the offer openly. I don't understand how they can make positive remarks already at this point," Voith CEO Hubert Lienhard said on a conference call, adding that Voith is considering carefully whether to hold or sell shares in Kuka.
Kuka said on Monday that it is assessing the Midea offer without prejudice.
A Kuka spokeswoman said the company it is generally open to partners that support its growth in China or the industrial Internet, in which smart factory systems are becoming increasingly connected.
This echoed remarks by Chief Executive Till Reuter at Kuka's annual shareholder meeting on Friday.
Germany's European Union Commissioner Guenther Oettinger also joined the debate on Monday, calling on majority shareholders to consider alternatives to Midea's bid, saying that Kuka is of strategic importance to Germany.
"Since there was no cry for help to China, we should be allowed to think about whether a European approach wouldn't be the better solution for Kuka," Oettinger told German daily FAZ, citing an alternative offer by the two majority shareholders or a takeover by other European companies as possible options.
Oettinger, the only German EU commissioner, echoed remarks by German government sources last week, who cautioned against an outflow of technology and said they were keeping a close eye on Chinese investments in the country.
The EU Commissioner, who is responsible for digital economy, does not have the power to block a takeover.