11Mon
Very interesting. Pretty cool contribution. @ccfHave you already struck? Just to understand, market value on the stock exchange is 2 billion and enterprise value is 5 billion. If a takeover bid is now made, the 5 billion would have to be paid, right? If this happens, will the price per share be set at the 5 billion? 2 to 5 is 150% more. Would the share price then adjust to this, or could you sell your shares at this price, or what happens there? So what return are you speculating on?
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11Mon
@Joris Yes, I bought a few days ago with exactly this speculation behind it. Even if it doesn't work out, Lanxess is one of the most innovative companies in the world, and a negotiation is certainly realistic from an incoming bid of €5 billion. A realistic bid is likely to be between €8-10 billion. Yes, that's exactly what would happen. The market value then approaches the bid. I would speculate on a 200% return, but in general I would also hold the value as it is for now and speculate on a 100% return in the holding position.
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•11Mon
@Hannes_SK I like the idea. Have read a lot about it. The CEO says they don't want to suffer the same fate as Covestro and the shareholders are rather loyal. Waren Buffet has also been in for years. But it doesn't look like the share has bottomed out yet, does it?
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11Mon
@Joris Correct, as I wrote above, management is the second factor. Under Zachert, I can't imagine that under normal economic conditions, but as CEO he, too, has to consider the welfare of the Group. Therefore, however, one will certainly not deny the appropriate sum.
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11Mon
@Hannes_SK do you know the reason for Buffet's entry ? Maybe your reason too ?
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11Mon
@Joris Buffet, after all, has been involved since 2017 and found Lanxess undervalued even then. Some say it has a similar background. But it can also be a great complement to Lubrizol from the Berkshire portfolio.
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