Volkswagen Subsidiary, Navistar Reach Agreement in Principle

Mon October 26, 2020 - National Edition
Volkswagen Group News

TRATON SE and American truck manufacturer Navistar International Corporation, in which TRATON already holds a stake of 16.8 percent, have reached agreement in principle that TRATON will acquire by merger all shares in Navistar not already held by TRATON, at a price of $44.50 per Navistar share.

"We are pleased to have reached agreement in principle for a transaction after intensive negotiations with Navistar. We are looking forward to completing our due diligence and obtaining the necessary approvals in respect of this exciting deal in order to welcome the new TRATON family member," said Matthias Gründler, CEO of TRATON SE.

This agreement in principle remains subject to finalization of due diligence to the satisfaction of TRATON, agreeing on the conclusion of a merger agreement and related transaction documents and the approval of the transaction by the executive bodies and committees of TRATON and VOLKSWAGEN AKTIENGESELLSCHAFT as well as the board of directors and the Shareholder Meeting of Navistar.

There is no assurance that the parties will reach agreement on definitive transaction documentation, or as to the terms thereof or that any transaction, if such agreement is reached, will ultimately be consummated.

The full content of the letter just submitted to Navistar can be found here:

This story also appears on Truck and Trailer Guide.