Ceva Logistics’ board of directors has suggested Ceva's shareholders reject CMA CGM’s SFr30 (US$30) per share takeover.
It said in a statement “The valuation of the revised business plan indicates a midpoint value of SFr40 per share, well above the share price of SFr30 offered by CMA CGM.”
Ceva Logistics said in a statement that while the board of directors concluded that the offer price “is reasonable from a financial perspective and that the offer provides a fair exit opportunity for shareholders who wish to receive cash for their CEVA shares, it makes its recommendation in the belief that shareholders could realise a higher value with their continuing investmentt”, due to:
"The board of directors, with the support of independent external advisors challenged the new business plan, have validated it and fully trusts Ceva's management team in its capability to successfully execute the plan. For those reasons, management and the Board will not tender the shares and do not recommend shareholders to tender either," said Ceva chairman of the board Rolf Watter.
Ceva chief executive Xavier Urbain added "I am proud to put the whole organisation on track to accelerate our transformation and turnaround action plan in the next three years and beyond. This can be achieved by a combination of our commercial and sales focus, cross selling with CMA CGM customers, our own productivity actions, the integration of CMA CGM Logistics within Ceva and sharing resources with CMA CGM in the field of non-strategic procurement and administrative functions."
CMA CGM announced a public tender offer in November 2018. It owns a 33% share in Ceva Logistics.
CMA CGM completed its acquisiton of short-sea provider Containerships last year.