Warburg 'argy bargy' stirs up Paris bourse
Saturday 22 June 1996
The subject of the power play was Compagnie d'investissement de Paris (CIP), a French company which takes small stakes in quoted companies. Banque Nationale de Paris controls 84 per cent of CIP and last week made an offer to buy out all the minority shareholders.
Unfortunately for the French these included SBC Warburg, the London-based Swiss bank which controls a 3 per cent stake and was unimpressed by the terms of the Gallic offer.
BNP offered the minority shareholders one BNP share for every CIP share held. Though BNP shares were then valued at Fr202 they slipped this week to Fr180, valuing the company at Fr5bn (pounds 532m).
To prove its point Warburg's yesterday tabled a FF205 per share offer for BNP's 84 per cent stake, valuing the whole company at pounds 630m. The offer will stand until noon on Monday. By close of trading yesterday, Warburg's had heard nothing.
It is thought that Warburg has no real interest in taking the whole of CIP but in pushing up the price.
Warburg's aggressive tactics are likely to have come as quite a shock in the comparatively sleepy Paris bourse where such argy bargy is less common.
The muscular move comes in the same week as Britain's Takeover Panel launched its latest salvo to prevent Brussels from interfering in domestic bids and deals. Contested takeover bids are uncommon on the Continent and in some cases virtually unheard of. The City has reacted angrily to suggestions that Brussels should try to harmonise European takeover codes. It is seen as an attempt to rein in what the Continent sees as untrammelled Anglo-Saxon speculators wreaking havoc.
Comment, page 17
- 2 California man brutally beat 82-year-old Sikh grandfather he mistook for 'one of those people'
- 3 School kitchen manager 'fired from Colorado school for giving hungry students free lunches'
- 5 Charles Kennedy 'had better judgement drunk than many sober politicians' says Ian Hislop
California man brutally beat 82-year-old Sikh grandfather he mistook for 'one of those people'
Amber Peat: Body found in search for missing 13-year-old who left house after argument with her parents
School kitchen manager 'fired from Colorado school for giving hungry students free lunches'
Isis executes three gay men by dangling them from top of 100ft building and letting go
Alton Towers crash: Four guests seriously injured as Smiler ride carriages collide
Thousands of teenage girls enduring debilitating illnesses after routine school cancer vaccination
Migrants in Kos: Photos show real tragedy after Brits abroad complain of 'awkward' holidays
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
Michael Gove determined to scrap the Human Rights Act – even if Scotland retains it
Threat to scrap Human Rights Act could see UK follow Nazi example, warns UN official
Church of England 'one generation away from extinction' after dramatic loss of followers
iJobs Money & Business
£30000 - £35000 per annum: Recruitment Genius: The UK's fastest growing, multi...
£70000 - £90000 per annum: Recruitment Genius: A Financial Reporting Manager i...
£23000 - £25000 per annum: Recruitment Genius: They win lots of awards for the...
£13500 - £20000 per annum: Recruitment Genius: This nationwide enforcement com...