MUNICH, March 20 (Reuters) - U.S. packaging company Silgan Holdings has signalled interest in taking over German medical packaging maker Gerresheimer <GXIG.DE>, according to two sources familiar with
Exclusive-US packaging firm Silgan signals interest for Germany's Gerresheimer, sources say
Silgan's Potential Acquisition of Gerresheimer: Key Developments
Silgan's Approach and Valuation
MUNICH, March 20 (Reuters) - U.S. packaging company Silgan Holdings has signalled interest in taking over German medical packaging maker Gerresheimer <GXIG.DE>, according to two sources familiar with the matter.
Silgan is working with advisers on the approach that could value Gerresheimer at 41 euros per share, one source said, cautioning that there is no certainty there will be a bid and that a transaction will be completed.
Responses from Involved Parties
Company Statements
Gerresheimer declined to comment.
Silgan was not immediately available for comment.
Market Reaction and Financial Overview
Share Price Movement
Gerresheimer shares rose 6.7% following the news to trade at 18.9 euros.
Company Valuation and Stock Performance
Gerresheimer, worth about 600 million euros ($694 million), has seen its shares drop more than 80% from its 2023 peak and the stock is down 37% since the start of the year.
Regulatory and Strategic Background
Financial Regulator Probe
The company said in late February that Germany's financial regulator BaFin is widening a probe into its financial statements, adding pressure on the medical products maker as it grapples with accounting issues and a plunging share price.
Previous Sale Talks
The Duesseldorf-based company held talks last year with private equity investors over a potential sale, but the conversations ended without an agreement.
Currency Exchange Rate
($1 = 0.8644 euros)
Reporting Credits
(Reporting by Alexander Huebner in Munich, Christoph Steitz in Frankfurt; Additional reporting by Milana Vinn in New York; writting by Andres Gonzalez; Editing by Miranda Murray and Louise Heavens)
