Linde, Praxair in $70 B Merger Deal; Deere to Pay

Sarla Buch
02 Jun, 2017
New York City

Bosch plans to acquire Italy-based rival Albertini Cesare. Linde and Praxair agreed to a $70 billion merger deal. Sandvik agreed to sell its process-systems unit to Wallenberg family for $576 million. Wirtgen agreed to be acquired by Deere & Co for

[R]4:00 PM Frankfurt – Bosch plans to acquire Italy-based rival Albertini Cesare. Linde and Praxair agreed to a $70 billion merger deal. Sandvik agreed to sell its process-systems unit to Wallenberg family for $576 million. Wirtgen agreed to be acquired by Deere & Co for €4.6 billion.[/R]

In London trading, FTSE 100 index rose 7.55 to 7,551.23 and in Frankfurt the DAX index advanced 151.92 or 1.2% to 12,816.04.

In Paris, CAC 40 index gained 17.18 or 0.3% to 5,336.60.

For the week, FTSE 100 index increased 1.1%, the DAX index fell 1.2% and the CAC 40 index were flat.

Bosch GmbH, the Germany-based automobile parts supplier said it intends to acquire Italy-based electric steering systems maker Albertini Cesare S.p.A. and agreed.

Linde AG gained 1.9% to €176.30 after Germany-based industrial gas maker and the U.S.-based rival Praxair Inc agreed to merge creating the global leader in the industrial gas with a market value of $70 billion.

Linde said all-stock merger deal is expected to complete in the second-half of 2018.

Separately, Linde said it has been awarded a major contract by PJSC Nizhnekamskneftekhim to supply olefin plant in Nizhnekamsk located in the Republic of Tatarstan in the Russian Federation.

Sandvik AB increased 1.9% to 137.90 Swedish kronor after Sweden-based steel and industrial-equipment supplier agreed to sell its process-systems unit to investment firm controlled by Wallenberg family for about 5 billion kronor or $576 million.

The transaction is expected to close in the first-quarter of 2018.

Wirtgen Group, Germany-based privately held the road equipment maker agreed to be acquired by the U.S.-based Deere & Company for about €4.6 billion or $5.2 billion including debts.

“We specifically chose Deere as the buyer because of our long-held respect for the organization and full confidence that Deere is dedicated to the ongoing success of the group and our worldwide employees,” said managing partner Stefan Wirtgen.

The transaction is expected to complete in the fourth-quarter of this year.

WYG Plc soared 6.2% to 103.50 pence after the U.K.-based management and technical consultancy services provider was awarded two new framework contracts with the UK government agencies including Ministry of Defense and Southern Africa work with the Climate Resilient Infrastructure facility.

The contracts are estimated about £50 million over the next three years.

""These contract wins are testament to the range and quality of our technical expertise both in consultancy services across the U.K. and in international development business,” said chief executive officer Paul Hamer.