Novartis starts ‘squeeze-out’ of Speedel shares

Novartis has announced it has started the squeeze-out procedure to procure the remaining shares in Speedel Holding.

Following the completion of a mandatory public tender offer, Novartis now holds a total of 99.8 per cent of the currently outstanding shares in Speedel.

The process to cancel the remaining shares of the firm will now take place under the same times of the public tender offer.

“All remaining Speedel shareholders to receive same compensation of CHF 130 (64.7 pounds) per share as those who tendered during offer period,” Novartis said.

The procedure is governed by law and is expected to close early next year, with the shares of Speedel Holding to be delisted from the Swiss Stock Exchange when the cancellation procedure is complete.

In July 2008, Novartis announced it had purchased an additional 5.17 per cent stake in Speedel, bringing its ownership of the firm up to 61.4 per cent of the firm.

Novartis announced plans to acquire the remaining shares of Speedel through a mandatory public offer.

At that time, chief executive officer of Novartis Pharma Joseph Jimenez said this step was a natural development in the relationship between the firms following their long-standing partnership.