The takeover battle for Osram stepped up a notch with a renewed $4.6 billion offer by AMS that includes some concessions to the German lighting group’s management and trade unions while crucially lowering the required number of acceptances.
The Austrian sensor maker aims to form a European leader for integrated sensor and lighting solutions, while at the same time reducing its own reliance on Apple for iPhone contracts that account for approximately 40 percent of AMS group sales – a business is increasingly under threat as Apple brings its chip-making capabilities in-house.
AMS failed last month with its first offer at the same price of €41 per share. AMS itself already holds nearly 20 percent of Osram’s shares and had collected enough acceptances to reach a total of 51.6 percent. But some investors held out, clearly hoping for a higher offer from private equity groups Bain Capital and Advent.
In the new bid AMS has lowered the required acceptance level to 55 percent; the original bid demanded 62.5 percent acceptances.