Schaeffler Raises Offer for Vitesco Shares Amid Shareholder Resistance

Despite the 3% increase to 94 euros, Vitesco's board and some shareholders still deem the offer as 'inadequate'.

Schaeffler AG, the German industrial group, has increased its offer price for shares in auto parts group Vitesco Technologies by 3% to 94 euros, in a move to appease shareholders.
Despite the increase, Vitesco's board and some shareholders, including David Einhorn’s Greenlight Capital, deem the new offer as 'inadequate', arguing that the company is worth more than 94 euros per share.
The Schaeffler family, which owns 49% of Vitesco and holds all voting rights and 75% of shares in Schaeffler AG, only needs a 75% block to push through the merger at a shareholder meeting.
The companies have agreed to merge to create a more competitive supplier in the electric vehicle segment and simplify the Schaeffler family's holdings, which include stakes in Vitesco and Continental AG.
The offer period will expire on December 15, with the transaction expected to be completed in the fourth quarter of 2024.