Cimpor’s board rejects new CSN offer

Cimpor’s board rejects new CSN offer
Published: 19 February 2010

The board of Cimpor has rejected the new takeover offer from Brazilian steelmaker CSN worth EUR4.15bn (US$5.63bn), Cimpor said in a statement.

CSN recently raised its offer to EUR6.18 per share from EUR5.75 and lowered its terms from at least 50% plus one share of Cimpor to one-third plus one share.

The offer undervalues Cimpor, the statement said, adding that the price is lower than the 6.50 euros per share Brazilian construction firm Camargo Corrêa has paid for stakes in the Portuguese firm.

Camargo Corrêa has agreements to acquire Cimpor shares from construction company Teixeira Duarte and from Spanish firm Bipadosa through subsidiary Atlansider. The deals take Camargo Corrêa’s total stake in Cimpor to 31%.

Brazilian conglomerate Votorantim has also agreed to acquire a 3.93% share of Cimpor from holding company Cinveste, upping its stake to 30.8%. Votorantim previously announced deals with French cement maker Lafarge for a 17.3% stake and Portuguese bank Caixa Geral de Depósitos (CGD) for 9.6%.