© yuriy chaban dreamstime.com Electronics Production | September 12, 2014
Danfoss making an offer for Vacon
Danfoss has placed a public tender offer for all shares of the Finnish AC drives company Vacon.
Vacon shareholders are being offered a cash consideration of EUR 34 for each share in Vacon, representing an aggregate equity purchase price of approximately EUR 1'038 million. "After a careful examination of Danfoss' offer, the Board of Directors of Vacon has unanimously decided to recommend that the shareholders accept it. Vacon is truly one of the great industrial success stories, even globally speaking. By joining forces, the two companies will create a Nordic-based global player - a new AC drives business with the clear ambition to build a leading position in the AC drives market," says Panu Routila, Chairman of the Board at Vacon. The background for Danfoss' offer is the company's strategic focus on creating profitable growth. Vacon is a good match to achieve this ambition. Both Danfoss Power Electronics and Vacon are players in the AC drives business, and together they will gain a stronger market position. "We have a clear strategic ambition to be one of the absolute top players in the businesses where we operate. Vacon is a very strong and innovative player and by creating this new drives business we can ensure a strong long-term growth trajectory," says Niels B. Christiansen, CEO at Danfoss. "I believe that customers will benefit significantly from the two companies joining forces as they will bring even more competitive, innovative, and attractive AC drives to the market. Today, Vacon is stronger than ever, and it has a great future ahead together with Danfoss," says Vacon's President and CEO, Vesa Laisi. The offer is subject to approval by relevant authorities, such as competition authorities, and Danfoss gaining control of more than 90 percent of the Vacon shares.