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PARIS Feb 4 French minority shareholders' group
Adam has written to PSA Peugeot Citroen to criticise
the terms of a planned capital hike that will see China's
Dongfeng and the French state take big stakes in the carmaker,
newspaper Les Echos reported.
The letter to Peugeot's chairman questions the terms of a
proposed 3 billion euro ($4.1 billion) capital increase that
will see Dongfeng and the French government investing
on equal terms, the report said.
"The sizeable portion taken up by the state may ward off
other potential investors and make it more difficult to seal
alliances with other carmakers," Les Echos quoted the letter as
Adam suggests that neither Dongfeng nor the French state
take part in the capital hike if banks are willing to subscribe
to the rights issue. Otherwise, it writes, the French state,
Dongfeng and the Peugeot family should launch a combined
takeover offer for the company.
Last month Thierry Peugeot reportedly wrote to his cousin
Robert Peugeot, head of the FFP family holding, to also
criticise the tie-up that would dilute the family's influence.
Adam could not immediately be reached for comment. Peugeot
declined to comment.
($1 = 0.7397 euros)
(Reporting by Lionel Laurent; Editing by Natalie Huet and Mark