Hochtief management exodus as ACS tightens grip

18th April 2011, Comments 0 comments

German construction group Hochtief said Monday its finance chief was following the chief executive out of the door as Spain's ACS tightens its grip in a hostile takeover.

Burkhard Lohr will leave the company after almost 20 years in October, Hochtief said in a statement. Last week it said chief executive Herbert Luetkestratkoetter would step down in May.

Luetkestratkoetter opposed a hostile takeover bid by Spanish giant ACS, owned by Spanish billionaire and Real Madrid president Florentino Perez, to create Europe's biggest construction group.

Despite Luetkestratkoetter's wish for Hochtief to remain independent, ACS has built up its stake to almost 40 percent and aims to own more than 50 percent.

Last week Hochtief, which generates only around 10 percent of its business in Germany, slashed its 2011 forecasts after a profit warning from Australian unit Leighton.

© 2011 AFP

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