DUESSELDORF (Reuters) - Talks between Wincor Nixdorf WING.DE and its U.S. suitor Diebold (DBD.N) are ongoing and constructive, the CEO of the German ATM maker said on Monday, but he stopped short of saying when a final agreement could be announced.
Wincor Nixdorf said last month that it had received an indicative offer of 1.7 billion euros ($1.83 billion) from Diebold, but added that final details needed to be hammered out and a due diligence needed to be done.
“The talks are based on equivalence and they are not heading into the direction of a hostile takeover,” Wincor Nixdorf Chief Executive Eckard Heidloff told reporters at the company’s annual press conference. He declined to give an indication of how long the talks would go on.
A combination of Wincor Nixdorf and Diebold would make the global market leader in automated teller machines, with a market share of about 35 percent, leaving NCR (NCR.N) the global number two with an estimated share of 25 percent, analysts have calculated.
Diebold has set an indicative offer of 52.50 euros per Wincor share, but shares of the Paderborn, north Germany-based company have not reached that level as investors were skeptical of an offer materializing.
Wincor Nixdorf shares have risen 15 percent so far this year, underperforming the German midcap index .MDAXI which has won more than 25 percent.
The group also said on Monday it had earnings before interest, tax and amortization (EBITA) of 22 million euros in the 2014/15 financial year that ended on Sept. 30, down from 155 million in the previous year as restructuring costs weighed.
That was slightly better than the average expectation for 20.7 million euros in a Reuters poll.
For the fiscal 2015/16 year Wincor expects EBITA to be around 150 million euros.
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Reporting by Anneli Palmen and Harro ten Wolde; Editing by Maria Sheahan and Louise Heavens