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German automaker VW takes 15 percent stake in truckmaker MAN

German automaker VW takes 15 percent stake in truckmaker MAN

Automaker Volkswagen AG said Wednesday it has taken a 15 percent stake in truckmaker MAN AG and will use it to support cooperation between MAN and Scania AB.
MAN has made an offer for Scania, in which Volkswagen already owns a stake, which Scania management and Volkswagen have rejected.
Volkswagen, which has its own truck business as well as the Scania stake, said it was seeking to protect its position in the industry.
"The investment should allow Volkswagen to secure its strategic interest in the truck sector and should make possible a friendly and jointly developed solution, which achieves maximum synergies," Volkswagen said in a statement.
"In light of indications in the market of a hostile takeover attempt of MAN by third parties, this investment in MAN is essential to secure Volkswagen's interest," the statement said.
The Wolfsburg-based manufacturer said it would use the stake to support "the industrial logic" of creating synergies between MAN and Scania, Europe's No. 3 and No. 4 makers of commercial vehicles.
Volkswagen CEO Bernd Pischetsrieder said last week at the Paris auto show that he preferred a "friendly alliance" between MAN and Scania to MAN's hostile euro9.6 billion (US$12.2 billion) bid for Scania earlier this month.
He has also said a three-way deal that would include Wolfsburg-based VW's own Brazilian truck operations would make more sense.
Scania and its major shareholders, including VW and Investor AB, have rejected MAN's offer, saying it did not reflect the company's true worth.
Analysts have said repeatedly that MAN would not be able to mount any takeover without the support of Volkswagen.
Shares of Scania were up 4.3 percent at 458 kronor (euro49.09 US$62.53) in Stockholm trading.


Updated : 2021-03-02 00:33 GMT+08:00