Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Markets & Finance

Merrill Raises Fresenius Rating


Fresenius (FMS) settled with asbestos litigants all fraudulent conveyance claims arising out of the bankruptcy of W.R. Grace & Co. Merrill Lynch raised its rating on the shares to buy from neutral.

Analyst Andreas Schmidt says that under the pact, Fresenius will pay $15 million in cash to resolve pre-merger taxes of Grace, which he estimates to be around $150 million. According to the company, the total amount of an estimated $165 million is fully covered by provisions already made. Hence, no extra costs should affect this, next year's results. Schmidt strongly believes the issue is finally solved for Fresenius, and expects no future burdens. While Schmidt says the company's third quarter was "not great," it is already visible that a bottom has been reached. He sees a recovery in 2003 and thereafter. The analyst set a price target on the shares of 53 euros (about US$52.65).


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus