Veolia Says It Won't Launch Hostile Takeover Bid for Suez, Which Still Rejects the Offer
By Olivia Bugault
Veolia Environnement SA said Sunday that it won't launch a
hostile takeover for Suez SA after buying Engie SA's stake in the
water-and-waste management company, and that Suez's board of
directors would have to agree to any public takeover bid.
"Following constructive discussions with the management of the
Suez group since October 1, and as confirmed today to Jean-Pierre
Clamadieu, Chairman of the Board of Engie, Veolia group announces
that it unconditionally commits not to file a hostile takeover bid
following the sale of the shares held by Engie in Suez," the French
utility group said.
However, Suez hit back later Sunday, saying that it still sees
its rival's intentions as hostile. Suez said that discussions with
Veolia failed and that its statement was 'misleading.' Suez
disclosed a letter from its chairman Philippe Varin to Veolia's
chief executive officer Antoine Frerot where Mr. Varin says that
Suez still considers Veolia's intention to buy a 29.9% stake in
Suez from Engie SA hostile.
The two companies have been fighting for weeks following
Veolia's announcement in late August that it intends to buy a stake
in Suez, which would be a first step before taking full control of
Write to Olivia Bugault at email@example.com
(END) Dow Jones Newswires
October 05, 2020 02:45 ET (06:45 GMT)
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