Under the terms of the Offer, SAF-HOLLAND is offering SEK 66 per Haldex share in cash (Eur 6.23), which values the issued share capital of Haldex at approximately 302 million. The acceptance period of the offer is expected to commence around 4 July 2022 and expire around 16 August 2022, subject to any extensions.
SAF-HOLLAND has acquired 14.1% of the outstanding shares in Haldex, of which 9.2% of the outstanding shares have been acquired from German brake manufacturer Knorr-Bremse, which launched a failed attempt to take over the company in 2016.
The company said: “The Board is of the opinion that Haldex, being an independent partner in the value chain and in the forefront of new technology, is well underway to positioning itself for future profitable growth. In arriving at its recommendation, the Board has also assessed the risks in different scenarios for Haldex as an independent listed company, including the risks associated with executing against the renewed strategy. In particular, the market where Haldex is active has undergone consolidation over the past years and Haldex’s business is of smaller scale compared to its major competitors. The Board believes that this poses risks to the Company and its ability to realize the full potential of its growth prospects.
“Furthermore, the Board has also taken into consideration that a combination between SAF-HOLLAND and Haldex, being two companies of equal strengths, has a compelling strategic rationale and will create value for our customers and employees. The combined activities, which is highly complementary from a regional presence and product portfolio perspective, will establish a strong global player in the commercial vehicle industry. A combination of two strong brands and capabilities will enable Haldex to strengthen its business.”
SAF-HOLLAND also said that its current intention is to retain the operations of Haldex intact, without significant changes to Haldex’s or SAF-HOLLAND’s employees and management or to the existing organization and operations of Haldex or SAF-HOLLAND, including the terms of employment and locations of the business.
The Haldex board has unanimously recommended that Haldex shareholders accept the offer.
The deal follows last year's acquisition of WABCO by axle manufacturer ZF.