Jan 22 (Reuters) - Ferretti International Holdings, the controlling shareholder of Ferretti, said on Thursday it did not intend to support the partial public tender offer for the Italian yacht maker
China’s Weichai rejects KKCG's Ferretti bid as board fight looms
Weichai's Stance on KKCG's Tender Offer
Jan 22 (Reuters) - The Chinese controlling shareholder of Italian yacht maker Ferretti said on Thursday it did not intend to support a tender offer by Czech investment group KKCG and could add to its own shareholding, as a battle over control of the company’s board intensifies.
Overview of KKCG's Offer
Earlier this week KKCG launched an offer worth up to 182 million euros ($213 million) to double its 14.5% stake in Ferretti and push for changes to the board, whose members were selected by the Chinese top investor.
FIH's Long-term Strategy
Ferretti International Holdings (FIH), controlled by China's Weichai group and owner of a 38% stake in the yacht maker, said it viewed its investment as "long-term and strategic" and reaffirmed its confidence in the company's long-term plans.
Current Shareholding Dynamics
"In line with this approach, FIH has, from time to time, increased its shareholding in the company. Subject to market conditions... FIH may continue to consider further increases," it said in a statement.
Since December, FIH has begun a series of small share purchases in the yacht maker.
"FIH expects to seek to maintain effective control of the company and appoint the majority of the board of directors at the next annual general meeting", it added.
Even if KKCG’s tender offer were successful, a 29% stake would still make it only the second-largest shareholder. However, it could seek to have its board slate approved by the general shareholders’ meeting, expected in April or May.
Italian entrepreneur Danilo Iervolino holds just over a 5% stake in Ferretti, according to data on the market watchdog Consob's website.
KKCG is not aiming to replace the company's current top management, according to two sources.
Ferretti, which controls seven different brands including Riva speedboats, is led by CEO Alberto Galassi, who has lately had a strained relationship with the Chinese top shareholder, according to media reports confirmed by a source close to the matter.
FIH said it has no present intention to make a public offer for the shares of the company.
($1 = 0.8558 euros)
(Reporting by Elisa Anzolin in Milan and Chandni Shah in Bengaluru. Editing by Mark Potter and Jan Harvey)
