Dutch cablemaker Draka looks set to be acquired by Italy’s Prysmian in a friendly takeover, after China’s Xinmao withdrew its rival bid on Thursday.
Draka had agreed terms with Prysmian last November, which is offering €840m ($1.1bn) in cash and shares with the support of Draka’s largest shareholder, Flint Beheer, a Dutch family investment group that owns 43.9 per cent of the group. But the deal was gatecrashed just hours later by Xinmao Science and Technology, a subsidiary of Shenzhen-listed Xinmao Group, which offered €1bn cash for the company.
On Thursday, the Chinese group said it did not think it would be possible for it to put together a bid in sufficient time to derail the Prysmian offer, which was formally launched on Thursday morning.