Deals

Grammer Agrees to Chinese Partner's $889 Million Takeover Offer

  • German company’s board clears bid from Jifeng Auto affiliates
  • Buyer to pay total EU61.25 a share, including dividend

Workes at the car supplier Grammer in Germany in 2017.

Photographer: Armin Weigel/picture-alliance/dpa via AP Photo
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Grammer AG agreed to a buyout offer by affiliates of Chinese partner Ningbo Jifeng Auto Parts Co. that values the German maker of vehicle seats at about 770 million euros ($889 million).

Grammer’s supervisory board endorsed the suitors’ plan to pay 60 euros a share plus a 1.25-euro-a-share dividend for full control and signed a business-combination agreement outlining the companies’ ties, the Amberg-based manufacturer said Tuesday in a statementBloomberg Terminal. The minimum acceptance threshold for the deal is 50 percent of Grammer’s stock plus one share, including the 25 percent already controlled by Jifeng Auto, the German company’s biggest stakeholder.