Pronova Investor Odin Is Still Not ‘Satisfied’ With BASF Offer

Odin Forvaltning AS, which holds 4.7 percent of Pronova BioPharma ASA, said that it is still “not satisfied” with BASF SE’s higher offer for the Norwegian drug ingredient maker.

Odin is reviewing the new offer, said Alexandra Morris, a fund manager at the investment company. BASF yesterday raised its bid for Pronova by 8 percent, offering shareholders 13.50 kroner. The German chemical maker also reiterated that the offer is contingent on getting 90 percent of shares.

Pronova declined as much as 4.5 percent to 12.65 kroner today and was down 2.6 percent as of 1:28 p.m. in Oslo trading.

Odin’s dissatisfaction with the price highlights the uncertainty of the deal, which values the maker of Omega 3 fatty acids at almost 5 billion kroner ($900 million). BASF’s improved offer came after about 20 percent of Pronova investors said they were unhappy, according to Odin.

“The entire bid situation has become more complicated,” said Kristofer Liljeberg, an analyst at Carnegie Investment Bank AB in Stockholm. While the analyst said it is unlikely that BASF would withdraw from the bid, the share price may fall to as low as 10 kroner if it did.