Report on acquisition: Wabco confirms talks with ZF supplier
FRIEDRICHSHAFEN / BRUSSELS Brake manufacturer Wabco has confirmed preparatory negotiations for a possible merger with Germany's third-largest automaker ZF Friedrichshafen.
However, there is no certainty that an agreement will be reached, the American-Belgian company announced on Wednesday evening in Brussels.
Earlier, the "Handelsblatt", citing financial circles, reported on an acquisition interest of ZF based in Friedrichshafen, Baden-Württemberg. With the acquisition, whose volume specialists estimated at up to eight billion euros, ZF would implement just under 40 billion euros and then reach a level close to the eyes of the market leaders Bosch and Continental, according to the report. For years, the ZF suspension and transmission manufacturer tried to get into the brakes business. "The interest is great," a newspaper quoted him as saying. The subject had already been discussed in the supervisory bodies of the foundation group.
"Of course we are constantly reviewing significant acquisitions," the company said in a statement. "We discussed these strategic options again and again on committees in our home." But there are still no decisions in the right direction.
On Wall Street, however, it was already pre-celebrated a bit: Wabco's share price rose sharply and rose on Wednesday, up eight percent to $ 130.49 a share. Earlier, rumors had taken stock however to $ 138.91, the highest price in almost ten months.
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