Sector News

Linde chairman ready to use casting vote for Praxair merger: FT

April 4, 2017
Chemical Value Chain

The chairman of German industrial gases group Linde is prepared to use his casting vote to push through a $65 billion merger with U.S. rival Praxair in the face of worker opposition, he told the Financial Times.

Linde’s labor representatives told Reuters last week they planned to vote against the deal, which they fear will entail significant job losses in Europe to achieve $1 billion in synergies, and a loss of influence over strategy.

Labor controls half the seats on the supervisory board, which will have to approve the deal once the terms are finalised in the next month or so – but Chairman Wolfgang Reitzle can cast a double vote in the case of a deadlock.

“Yes, I’m willing to do that,” he told the FT in a comment published on Monday.

Linde shares were up 1.4 percent by 0820 GMT on Monday, the top-gainer in the German blue chip index .GDAXI, which was 0.2 percent higher.

Reitzle is the driving force behind the planned all-share merger of equals, which would reunite a global Linde group split by the First World War a century ago. It is the second attempt by the two companies to agree a deal.

Chief Executive Aldo Belloni told the FT his role was to provide better communication to workers about the deal, not to grant further concessions.

Belloni was brought out of retirement by Reitzle to head Linde after the breakdown of the first attempt to merge with Praxair led to the departure of the then-CEO and finance chief.

Linde’s supervisory board is set to meet on Thursday. It will not yet vote on the merger as the terms are still being negotiated.

By Georgina Prodhan

Source: Reuters

comments closed

Related News

October 23, 2021

INEOS to take leading role in the hydrogen revolution with launch of hydrogen campaign

Chemical Value Chain

INEOS, Europe’s biggest operator of electrolysis needed to produce clean, low carbon hydrogen, has doubled down on its €2 billion investment in green hydrogen with the launch of a hydrogen advocacy campaign. The campaign kicked off with the publication of a powerful editorial in the Sunday Telegraph on the hydrogen economy written by Sir Jim Ratcliffe, INEOS’s founder and chairman.

October 23, 2021

Vertellus completes acquisition of IM Chemicals

Chemical Value Chain

Vertellus, a manufacturer of specialty products for consumer goods, food & agriculture, healthcare, and industrial markets, today announced the completion of its acquisition of IM Chemicals. With the addition of IM Chemicals, Vertellus expands its specialty ingredients portfolio into new markets and bolsters its manufacturing capabilities in Europe.

October 23, 2021

Johnson Matthey announces research project aimed at catalytic reduction if dairy methane emissions

Chemical Value Chain

A new collaboration between scientists, engineers, industry and farming experts hopes to demonstrate how clever technology can reduce the powerful greenhouse gases released by livestock to help agriculture reach carbon emissions targets.

Send this to a friend