Dec. 6 (Bloomberg) -- Wavin NV, Europe’s biggest maker of plastic pipes for sewers, said Mexichem SAB’s increased offer of 457 million euros ($612.2 million) was “unacceptable.”
The 9 euro-a-share offer “materially undervalues the company and its prospects,” Zwolle, Holland-based Wavin said today in a statement distributed by Thomson Reuters One.
Mexichem raised its offer today to gain “friendly” support to buy Wavin NV as it seeks to expand its plastic pipes business in Europe.
“Certain progress has been made on non-financial items,” the company said in the statement. “Future discussions are conditional on an offer price acceptable to the management board.”
Mexichem, based in Tlalnepantla, Mexico, has bought more than 15 companies since 2007. The shares rose 1.4 percent to 46.73 pesos at 2:26 p.m. in Mexico City.
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