VIENNA, Dec 1 (Reuters) - Conwert recommended on Thursday its shareholders accept the takeover offer by larger German rival Vonovia in cash unless Vonovia’s shares rise significantly.
Conwert shareholders can choose to receive 16.16 euros ($17.17) cash per share or 74 Vonovia shares for every 149 Conwert shares, which implies a price of 17.58 euros per Conwert share based on the closing price of the day before the offer was announced.
The offer runs until Dec. 19. Shares in Vonovia traded at around 30.17 euros on Thursday, implying an offer price of around 15 euros per Conwert share, below Wednesday’s closing price of 16.17 euros.
Vonovia said last month that it did not need to raise fresh capital for the takeover project even if all Conwert shareholders accept the cash offer, which would cost Vonovia around 1.65 billion euros. ($1 = 0.9414 euros) (Reporting By Shadia Nasralla; editing by Francois Murphy and David Evans)