By Dominic Chopping
STOCKHOLM--Alfa Laval AB said Thursday that it has lowered the acceptance level of its bid for Neles Oyj and extended the acceptance period.
Alfa Laval launched a 1.73 billion-euro ($2.03 billion) takeover bid for Neles in July and had set the acceptance period to expire on Oct. 22 with an acceptance level of more than two thirds. However, it has now extended the offer period to expire on Oct. 30, with an acceptance level of more than 50%.
Alfa Laval and Valmet Corp. have been vying for control of Neles over the last couple of months. Valmet has gradually increased its ownership in Neles to 29.5% and recently moved to try and scupper Alfa Laval's deal by sending Neles an unsolicited letter proposing a merger, but didn't disclose terms.
The Neles board has recommended shareholders accept Alfa Laval's bid, saying recently that it failed to get details of Valmet's counter proposal.
"If the tender offer is completed, Alfa Laval would assess alternatives to acquire the remaining shares in Neles over time," Alfa Laval said in a statement.
"However, no decisions concerning such transactions have been taken."
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(END) Dow Jones Newswires