COVESTRO – Company confirms takeover talks!

analysis

Covestro shares are leading the list of winners in the DAX today after there are rumors that takeover talks with Adnoc will be resumed.

• Covestro AG – WKN: 606214 – ISIN: DE0006062144 – Price: €52.120 (XETRA)

Update at 7:54 p.m.: As Covestro announced in a report on Friday evening, it has decided to start open-ended discussions in view of the interest expressed by Abu Dhabi National Oil Company (Adnoc). Whether, in what form and, if necessary, under what conditions an agreement will be reached between the discussion partners is an open question and will depend on the course of the upcoming talks.

A steep wave of buying hit Covestro shares shortly before 3:00 p.m. and pushed them past the previous rally high of EUR 50.72. The share is currently trading at EUR 53.00. The price jump is likely to be triggered by rumors about an upcoming supervisory board meeting, which could clear the way for formal negotiations with Adnoc. About the[–>Übernahmepläne von Adnoc berichteten wir zuletzt an dieser Stelle.

Due to the price jump, the share has overcome the price target at EUR 52.00 and could initially head for the resistance level at EUR 55.38. If the rumors become more intense or a new offer is made, based on previous reports, the range of the most recently circulating takeover offer would be EUR 60.00.