SCOR: activist investor CIAM calls for talks with Covéa
(CercleFinance.com) - The French activist investment fund CIAM wrote to SCOR's Chairman and CEO, Denis Kessler, to inform him that it is not - at all - in agreement with the outright rejection of the proposed friendly takeover bid of 43 euros per share by the mutual insurer Covéa.
CIAM, which has said that two of its funds have stakes in SCOR, writes "I can only take exception to the ease with which you have rejected this proposal, which appears to be in the common interest of the shareholders of Scor," in a letter signed by its Chair, Catherine Berjal.
CIAM particularly contests the argument by which Covéa's bid does not reflect SCOR's intrinsic value, using the relevant formula, with the price of 43 euros seeming well above the share price of a company that she has managed for over 15 years, and despite a job that has been hailed by everyone.
The activist fund steps up its tone, to “stress that your legal obligations to your shareholders oblige you to engage in good faith in discussions with Covéa regarding the offer proposal.”
Copyright (c) 2018 CercleFinance.com. All rights reserved.
CIAM, which has said that two of its funds have stakes in SCOR, writes "I can only take exception to the ease with which you have rejected this proposal, which appears to be in the common interest of the shareholders of Scor," in a letter signed by its Chair, Catherine Berjal.
CIAM particularly contests the argument by which Covéa's bid does not reflect SCOR's intrinsic value, using the relevant formula, with the price of 43 euros seeming well above the share price of a company that she has managed for over 15 years, and despite a job that has been hailed by everyone.
The activist fund steps up its tone, to “stress that your legal obligations to your shareholders oblige you to engage in good faith in discussions with Covéa regarding the offer proposal.”
Copyright (c) 2018 CercleFinance.com. All rights reserved.