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Friday, 09 January, 2009, 22:10 GMT | more >>

OMV still keen on MOL



By Upstream staff 

Austrian producer OMV said it wanted to continue talks with Hungarian peer MOL on a proposed takeover, but would call for an extraordinary shareholders' meeting if they were unproductive.

OMV, which already holds 20% of MOL, launched a bid valuing its Hungarian target at $20 billion in September. MOL has rejected the approach.

Upping the ante in its takeover bid, OMV said it still wants to directly talk to MOL, yet was ready for other steps.

"If OMV is unable to achieve satisfaction through an open dialogue, OMV is prepared to initiate an EGM to enable all of MOL's shareholders to exercise their rights as owners of the company," said OMV in a statement.

OMV's bid is subject to MOL removing a 10% voting rights cap and on the cancellation or neutralisation of a 40% stake in MOL controlled by its board and friendly institutions.

OMV also said it had started litigation against MOL in the Hungarian courts over the golden share held by the Hungarian government, a voting cap regulation which favoured the Hungarian state and the constraint on removing only a limited number of board members at any one time.

Hungary's financial watchdog PSZAF already plans to fine MOL over its share buybacks which started in June, Hungarian newspapers reported on Friday, although PSZAF declined comment.

MOL has spent almost $2.8 billion on share buybacks, Reuters said.


Tuesday, 04 December, 2007, 08:31 GMT  | last updated: Tuesday, 04 December, 2007, 08:31 GMT

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