Munters Sides With Nordic Capital Over Alfa Laval After Higher Bid

Munters AB, a Swedish maker of dehumidifiers, said its board of directors sided with a takeover bid by Nordic Capital AB after the private-equity company trumped an offer from Alfa Laval AB.

Nordic Capital subsidiary Cidron Interessenter AB is offering 73 kronor a share, beating the 68 krona bid by Alfa Laval earlier this month, Munters said today in a statement. The board unanimously recommended that shareholders accept the Nordic Capital bid, the Stockholm-based company said.

Munters surged as much as 6.6 percent today to 77.25 kroner in Stockholm trading, indicating that investors expect a further bidding contest.

“Nothing is closed,” regarding other potential offers, Munters Chairman Anders Ilstam said in a phone interview. “We are waiting for the market’s and for Alfa Laval’s reaction.”

Nordic Capital’s bid values Munters at about 5.4 billion kroner ($804 million), according to the private-equity firm. The shares traded at 76.50 kroner at 9:29 a.m., giving Munters a market value of 5.76 billion kroner.

“Alfa Laval’s board will respond after an evaluation, which will happen as soon as possible,” Peter Torstensson, an Alfa Laval spokesman, said today.

The Munters board said Sept. 24 that it had contacted other bidders and that the offer from Alfa Laval, the Lund, Sweden- based maker of fluid-control equipment, didn’t take into account the company’s long-term potential.

To contact the reporter on this story: Janina Pfalzer in Stockholm at jpfalzer@bloomberg.net.

To contact the editor responsible for this story: Angela Cullen at acullen8@bloomberg.net.

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