By Friedrich Geiger
BERLIN--German fertilizer and salt company K+S AG (SDF.XE) said
a majority of its private shareholders support the management's
rejection of a takeover proposal by Potash Corp. of Saskatchewan
Inc. (POT).
In July, K+S conducted a survey among its private shareholders,
who together hold about 30% of the company. About 28% of these
shareholders responded with most of them opposing the bid by
Potash.
Of the survey respondents, 84% supported the rejection of
Potash's takeover bid by K+S's management. Only about 4% of survey
participants would sell their shares at the price Potash proposed,
which was 41 euros ($44.95) a share. A significantly higher offer
would be accepted by 28% of the respondents.
The news further diminishes Potash's chances of taking over its
rival, after K+S said Friday it has rebuffed another unsolicited
takeover approach from the Canadian company. Potash had earlier
made an informal approach, which K+S also rejected.
K+S Chief Financial Officer Burkhard Lohr said: "The prevailing
view among [the private shareholders] is in line with that taken by
the overwhelming majority of institutional investors that we are in
touch with, and who also welcome the rejection of the Potash Corp.
proposal."
Write to Friedrich Geiger at friedrich.geiger@wsj.com
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