The owner of Montepio, Associação Mutualista, launched a takeover bid on the participation units it does not hold. In return, it will pay one euro per unit.
Associação Mutualista Montepio Geral will remove Montepio from the Stock Market. The entity headed by Tomás Correia launched a voluntary takeover bid aiming to have the participation units it does not yet hold, according to a press release sent to CMVM (Portuguese Securities Market Commission). The quid pro quo is they have to pay one euro per unit.
Associação Mutualista will pay one euro per participation unit, which means the offer is assessed in over 100 million euros, Montepio states. The goal of the takeover bid is to assure that Montepio’s social capital is mostly held, if possible, by social economy entities.
In December 2013, the bank’s participation units started being traded in the stock market. The bank’s 23,916 small investors payed one euro for which security, which is now being transformed into shares which will no longer be listed in the market if the takeover bid is successful. This will open the financial institution’s capital to new investors.
Because of the takeover bid, Montepio’s securities increased 98.99% to 0.989 euros this Wednesday — 1.1 cents less than what Associação Mutualista, which is the bank’s only shareholder, is offering for each unit.