Vienna Capital Partners has extended its option agreement with Permira with an additional month until 30 November for technical reasons. According to the option Permira has the rights to buy VCP's 21.38% stake in BorsodChem for HUF 3,000 per share.
Our view:
We see the news as slightly negative, since it could delay the announcement of a potential public bid for BorsodChem’s minority investors. Permira planned to announce a public bid, after it gained majority in BorsodChem. However, as option exercise period is extended, Permira might gain majority in BorsodChem with a month delay as opposed to earlier plans. We see the news could put some pressure on BorsodChem’s share price today.
Permira has also made a buy option agreement with Firthilion Limited (to purchase its 26.158% stake in BorsodChem). We believe, this agreement could also be extended with an additional month for the same technical reasons.