EINDHOVEN, NETHERLANDS – Neways says it has reached a conditional agreement with investment firm Infestos on a recommended public offer for all of the issued and outstanding ordinary shares, according to reports.

The price per share of €14.55 offered by Infestos’ Bernard ten Doeschot, Neways shareholder, amounts to an aggregate equity value of approximately €177.5 million, representing a premium of 33.5% over the closing price of the EMS firm on Apr. 29.

This could be the end for VDL, which previously offered €13.00 per share, as the new, larger bid from Infestos is supported by Neways’ management board and supervisory board. Neways and its boards recommend his offer, saying it delivers immediate, certain and attractive value to their shareholders.

Neways says it will maintain its corporate identity, values and culture and existing rights and benefits of employees. The current management board will continue to lead the company, and the members of the supervisory board will remain in place.

“Infestos is a strong and entrepreneurial investment firm that is well positioned to support us in realizing our long-term ambitions,” said CEO Eric Stodel, Neways. “We continue to develop and grow our market position as a system innovator in the EMS market, by moving up the value chain and adding greater value for our customers. We’re convinced Infestos is the right partner for this next phase of development. With their expertise, they can help us to further accelerate the rollout of our transition and growth of our business in the years to come, while remaining an independent company.”

“We fully support the One Neways and System Innovator strategy,” said Frank van Roij, investment director of Infestos. “We believe this strategy can create long-term value, while Neways remains an independent publicly listed company. With our experience in transitioning and growing strongly positioned technology companies, we’re looking forward to working together with Neways on accelerating its journey of profitable growth.”

VDL says it is considering its position, with no intention of trumping Infestos’ offer, but possibly matching it. Under the terms of VDL’s bid, it has until July 8 to counteroffer.

The Infestos-Neways deal is contingent on their acquiring at least 60% of outstanding shares. To cross the 85% threshold, a squeeze-out bid can be launched to force the minority shareholders to sell. With VDL holding a 27.63% stake, that would require the support of the Van der Leegtes.

Neways called VDL’s bid an undervaluation.

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