Doosan scraps controversial Robotics
Doosan Group has officially scrapped its merger plan between Doosan Robotics and Doosan Bobcat, following shareholder opposition and regulatory pressure. However, the group still intends to move forward with its broader strategy to integrate Bobcat under Robotics in a bid to achieve synergy across its business operations.
On Thursday, the boards of Doosan Bobcat and Doosan Robotics each convened and decided to cancel the comprehensive share exchange agreement initially designed to streamline their business structures. This decision effectively reverses a plan that was only announced about a month ago, which would have seen Doosan Robotics acquire Doosan Bobcat, subsequently delisting it as a wholly-owned subsidiary before completing a full merger.
In a joint letter to shareholders, the CEOs of Doosan Robotics and Doosan Bobcat stated, “Although the business structure reorganization appeared promising, it has become clear that proceeding without adequate support from shareholders and the market would be difficult. We will continue to explore ways to create synergies between the two companies, which may include revisiting the reorganization plan after further communication with the market."
The cancellation follows widespread criticism that the proposed merger ratio did not accurately reflect the true value of the two companies. According to the initial terms, Doosan Bobcat shareholders were to receive 0.6 shares of Doosan Robotics for each share of Doosan Bobcat they owned. This ratio, though determined in accordance with Korean law, was met with resistance as many argued it undervalued Doosan Bobcat, which is significantly more profitable than Doosan Robotics. The backlash from Doosan Bobcat shareholders and the market, coupled with regulatory scrutiny from South Korea's Financial Supervisory Service, ultimately led to the deal's collapse.
Despite the merger's cancellation, Doosan Group remains committed to its original plan of spinning off Doosan Bobcat from Doosan Enerbility and placing it under Doosan Robotics. The group argues that this restructuring is essential for leveraging synergies, particularly in bolstering its robotics business in North America and advancing its autonomous and automated construction machinery initiatives.
The key question now is whether the FSS will approve this revised spin-off or split merger approach.
“We have requested clarifications not only on the share exchange merger but also on the proposed split merger. We will thoroughly examine whether the necessary disclosures have been made and if investors are being adequately informed,” an FSS official said.
"We will submit a corrected report that fully addresses the authorities' concerns and will reschedule the shareholders' meeting and related proceedings after incorporating market feedback,” said a Doosan Group official.
The news of the merger’s withdrawal immediately impacted the stock market Thursday. Doosan Robotics’ shares closed up 4.84 percent at 69,300 won ($51.9), while Doosan Corporation, the holding company, saw a 1.02 percent increase, closing at 147,900 won. Conversely, shares of Doosan Enerbility, which stands to lose Bobcat, dropped 3.95 percent, and Bobcat shares fell 3.33 percent.
下一篇:This shark lives for centuries. Scientists discover how it resists aging.
- ·Scientists detect water sloshing on Mars. There could be a lot.
- ·让留守老人节日不孤独 志愿者送去温暧和祝福
- ·广东明基水产集团法国场活动致辞
- ·努力营造安全畅通交通环境
- ·The Wonderful World of Christmas Trees
- ·上海自贸区海关监管创新迭出 新业态快速发展
- ·支付宝用户去年人均花1.86万 北京网购排全国第三
- ·李嘉诚2013年抛售百亿:房价太高 投资有风险
- ·Number of COVID
- ·飞禽齐聚生态环境更好
- ·让留守老人节日不孤独 志愿者送去温暧和祝福
- ·飞禽齐聚生态环境更好
- ·让法治建设成效更加可感可及
- ·“农业问道 科技协同” 深圳市农促中心举办科技人才交流活动
- ·雨城区工商质监局:查处一起燃气瓶充装违规事件
- ·“车油路管”综合治理 净化道路生态环境
- ·New image shows the North Star is changing. And it has spots.
- ·《月亮公主·迷雾星球》儿童剧在我市开演
- ·鎴垮湴浜у啀铻嶈祫閬亣鑲″競浣庤糠 鎴夸紒鐜拌偂浠峰€掓寕
- ·开新局!2023年德庆贡柑“12221”市场营销启动
- ·Slot extends perfect Liverpool start
- ·王小慧:一起见证茂名荔枝开辟新沃土,共同续写荔乡的辉煌故事
- ·爱心温暖贫困家庭儿童
- ·广东特色优势农产品大数据(产销)运营平台发布仪式
- ·Weather update for second Pak vs Ban second Test match day one
- ·粤新美味大碰撞,“疆品南下 粤品北上”即将上新