BERLIN (AP) — German truckmaker MAN AG said Monday that it may withdraw its hostile takeover bid for Scania AB as it seeks a friendly combination with the Swedish company.
Munich-based MAN had its $12.1 billion bid rejected by the Swedish company and by automaker Volkswagen AG, which holds an 18.7 stake in Scania that gives it 34 percent of the voting rights.
Last week, Volkswagen announced that it had bought a 15 percent stake in MAN, which it said it would use to support three-way cooperation between MAN, Scania and its own truck business.
MAN ''seeks a friendly solution through negotiation in the immediate future to achieve its vision to combine MAN AG and Scania AB,'' MAN said in a statement. ''The aim of these negotiations will be to realize the industrial concept which has been presented by MAN.''
''In this context, MAN AG confirms that under certain conditions, which have to be negotiated with all involved parties, it will consider withdrawing its offer to acquire Scania AB,'' the statement said. It did not mention Volkswagen.
Scania had no immediate reaction to the announcement.
VW welcomed MAN's decision. In a conference call, CEO Bernd Pischetsrieder said it was giving MAN and Scania four weeks to produce proposals for synergies from a combination, but did not comment on its possible structure.
Scania and its major shareholders have said MAN's offer, made last month, does not reflect the company's true value.
When it took its MAN stake last week, Volkswagen said it was seeking to protect its position in the industry by increasing its efficiency through working with Scania and MAN.
In related action, workers' representatives at MAN AG are threatening large-scale protests against Volkswagen AG amid the reports that the German carmaker is planning a three-way merger involving its own truck division, Scania AB and MAN.
According to the Frankfurter Allgemeine's Sunday edition, VW chief Bernd Pischetsrieder was meeting in Stockholm, Sweden, with representatives from the two other countries. Scania was unable to comment on the report Sunday.
Lothar Pholmann, who heads MAN's workers' council, told the Sunday edition of Bild that employees were worried their jobs would be cut in any merger, and threatened protest marches at VW headquarters.