The fertilizer group Potash increases the pressure on the German K + S,acquiesce in takeover negotiations. In meetings with institutional K + S investors Canadians now concretely explain their list of concessions that they have sent to management in Kassel. Among other things, they offer the entire K + S Board of a job after a takeover - and indeed to higher salary than now. In addition, two persons from the K + S management can move into the Potash-governing body.
The learned, the Frankfurter Allgemeine Zeitung (FAZ Thursday edition) by Uwe Rathausky, CEO of Gan AG, which advises the fund Universal-Investment. He was briefed on Tuesday at Potashs investor relations boss Denita Stann via the 50-page takeover plan, the Potash has sent to K + S. The Fund is a share package of 0.4 percent of the larger investors in K + S and urges the Board to meet with Potash. Rathauskys information has been confirmed by other sources, who wished to remain anonymous. Potash wants to take over the DAX company for nearly 10 billion euros. The meetings with investors demonstrate the energy with which Potash promotes behind the scenes for a takeover of the competitor. Specifically called Stann in the conversation with Rathausky following points from the takeover plan ("Business Combination Agreement"):
- The entire K + S management team should receive an offer for continued employment after the acquisition - on terms over the current remuneration.
- has the opportunity to a total of two persons from the Management Board and Supervisory Board to send in the Potash board, the most senior body.
- Potash wants an additional "Excellence Center" set up in Germany, among others, research and development.
- K + S is to remain in its present form, ie an AG, received at least five years.
- Redundancies are excluded for five years.
- Ongoing trainee programs are to be retained.
- Kassel is to be maintained for at least five years as a headquarters.
Neither Potash nor K + S wanted to comment on the list. In circles, who are familiar with the proposals, it was said to the first point, Potash would offer the K + S managers a financial incentive to remain in the merged entity. Because the boards have in their contracts clauses that provide them with multi-million dollar severance packages in the event of a takeover. As the FAZ calculated together with a compensation consulting, at least 13.4 million euros to the five board members would be due. The Potash deal refers reportedly on the Executive Board and other key executives. The offer to build another "center of excellence" in Germany, surprised, because K + S has just inaugurated a new research center in the Thuringian Unterbreizbach - subsidized by the way the Thuringia, which attracted over the corresponding unit for discontent Hesse over the border. The information on the Centre of Excellence were but - like all statements Stanns - confirmed by other sources. The five-year warranty for the existing legal forms AG aims reportedly out to meet the union. So is the co-determination remain grants As for the future function of the location of Kassel, there should be a European headquarters, the FAZ The results so far sense, has not been represented as Potash appreciably on this continent. The current K + S seat would be a logical place to control the future European operations of Canadians.As Rathausky says he recently spoke with K + S boss Norbert Steiner and CFO Burkhard Lohr. "Mr Steiner and Mr Lohr independently reported that there were two letters from Potash, where intentions were set out, which they consider not sincere. They assume that Potash holds back the truth and possibly the closure of mines for the non-European export business and a sale of the salt business to refinance the deal aims. "Rathausky makes equity obligations of the Executive Board submits that writes FAZ continues. A majority of shareholders wanted that would consent to talks. "As far as I can not understand it, the Board itself should refuse an interview with Potash contrary to the opinion of the shareholders."