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Nexans waives make an offer on Draka

Nexans did not lodge a bid for the Dutch group Draka become the object of a bidding war between the Chinese and Italian Tianjin Xinmao Prysmian. The regulations in force in the Netherlands required the French group confirmed it by November 24 its intentions vis-à-vis Draka.

Nexans (…) his intention, in light of current circumstances, not to file a document relating to such offer from the Dutch Financial Markets Authority, "wrote the French group in a brief statement. "We will remain attentive to developments in the case Draka, then said a spokeswoman of the group.

Nexans, the worldwide cable, announced October 18 a proposed bid for Dutch rival the price of 15 euros per share in cash.But Drake had rejected this proposal and recommended Monday a rival bid by Prysmian at 17.20 euros, divided in half in cash and securities. A few hours later announced a higher bid Xinmao offering 20.50 euros per share Draka.

A spokesman said the Xinmao minimum value of the offer would be five billion yuan, representing approximately 560 million euros, the value of 48 instant credit report.5% owned by Draka in very discreet fund Flint Beheer, family Fentener van Vlissingen.

While doubts were cast on the feasibility of Xinmao, his consulting firm said on Wednesday that funding had been secured with a major Chinese bank.

According to Joseph Krant, firm Catalyst Advisors based in Amsterdam, the company Xinmao submitted a letter of commitment on the part of a "major banks in China to provide the funds necessary" for the proposed takeover.

The parent of Xinmao was founded in 2000 by a former officer in the Army Air China and employs approximately 30,000 people.

Draka-Prysmian marriage would create a new world leader in the cable. Xinmao for his part confirmed Wednesday its intentions vis-à-vis the Dutch group and ensured that funding had been secured with a major Chinese bank.

(With Reuters)