Aeromexico shares soar on new bid |
|
|
|
Published
:
Thu, 13 Sep 2007 18:59
|
MEXICO CITY (AP) - Aeromexico's shares soared on Thursday after group including Mexican investors and Citigroup Inc.'s Mexican banking arm said they plan to make an offer for the Mexican airline.The group will launch a public tender offer for between 50 percent and 100 percent of Aeromexico for 1.68 pesos (15 cents) a share, or about $151 million, the Citigroup unit, Banamex, said in a news release Wednesday. Aeromexico is owned by Consorcio Aeromexico SA.Aeromexico's shares rose nearly 11 percent to 1.76 pesos (about 16 cents) at midday on Mexico City's stock exchange, with expectations rising for a bidding contest.The new bid is significantly higher than that offered by the Mexican father-son investment team of Alberto Saba Raffoul and Moises Saba Masri, who offered 1.10 pesos (10 cents) a share, or about $98 million, for the carrier.Banamex said the group has requested authorization from the Federal Competition Commission and the National Banking and Securities Commission.The Federal Competition Commission recently approved the Sabas' offer, as did Aeromexico's board.Mexico's other major carrier, Mexicana, and Aeromexico were part of government-owned holding company Cintra SA, which put the two carriers up for sale in 2005. The Federal Competition Commission wants to generate competition in the domestic airline market.The government sold Mexicana to hotel group Grupo Posadas SA, but rejected bids for Aeromexico as too low. The government currently owns 62 percent of Aeromexico.On Tuesday, the antitrust agency announced that Posadas planned to bid for Aeromexico. Grupo Posadas says it has taken no steps to buy the airline.The 14 private bidders include members of the Aramburuzabala family, which controls the country's top brewer, Grupo Modelo SAB, and the Canales Clariond family, which recently sold steel maker Grupo Imsa.Copyright 2007 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
|
|
|
|
| Comments |
|
Aeromexico's ties with Banamex strong |
|
Thu, 13 Sep 2007 22:41:53 GMT (
Jason ) |
|
|
Aeromexico's numerous ties with Banamex and Citigroup as a whole should help them in a bidding war with these two private businessmen. News Visual did a great article on it this morning http://www.newsvisual.com/newsvisual/2007/09/ties-could-impr.html |
| |
|
|
|
|
Print this Story
Air France-KLM in talks to acquire Czech Airlines CSA 