Hochtief says to appeal against Australian decision on ACS

8th November 2010, Comments 0 comments

German building firm Hochtief said on Monday it would appeal against a decision by Australia's Takeover Panel after it declined to block or modify a takeover offer for the German group by ACS of Spain.

Hochtief said it would appeal to a second body of experts from the commission.

The panel, made up of business and legal representatives, was asked by Hochtief in October to issue a ruling requiring ACS, which wants to buy 50 percent of Hochtief, to make a bid as well for Hochtief's Australian subsidiary Leighton, thereby increasing the price and possibly discouraging ACS.

The Takeover Panel said earlier on Monday that it saw no reason to accede to Hochtief's request.

ACS, Spain's biggest construction company, already holds just under 30 percent of Hochtief and wants to take a majority holding to create what would be the world's biggest building firm.

However, the Spanish company offered a price below Hochtief's current market value and the German group has rejected the takeover offer.

© 2010 AFP

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