Italian Government Investigates NHOA Following Taiwan Cement's Bid for Control

Italian energy storage firm NHOA is under government scrutiny following a buyout offer by its major shareholder, Taiwan Cement Corp (TCC), aiming to delist the company. The government, exercising "golden powers," is examining potential management changes and relocations of strategic activities post-privatization. NHOA's stock has remained stagnant, despite TCC's plans to focus on long-term strategies without financial market pressures.

Italian energy storage firm NHOA (NHOA.PA) is under the microscope of the Italian government following a buyout offer by its major shareholder, Taiwan Cement Corp (TCC) [1]. The government, utilizing its "golden powers," is examining potential management changes and relocations of strategic activities post-privatization.

NHOA, a Paris-listed company, was informed of TCC's intention to file a simplified tender offer for the NHOA shares at a price of EUR 1.10 per share [1]. If the legal conditions are met at the end of the offer, TCC plans to request the implementation of a squeeze-out, resulting in the delisting of NHOA's shares from the Euronext Paris regulated market.

As of June 12, 2024, TCC holds approximately 88.87% of NHOA's share capital and theoretical voting rights through its indirect ownership of Taiwan Cement Europe Holdings B.V. [1]. The proposed tender offer price is slightly above the subscription price of EUR 1.00 per share for NHOA's last rights issue completed in September 2023 [1].

The Italian government's intervention comes as NHOA's stock has remained stagnant amid TCC's plans to focus on long-term strategies without financial market pressures. Despite the potential benefits of TCC's investment, concerns about the impact on the Italian energy sector and NHOA's employees have led to the government's scrutiny.

In response to the proposed tender offer, NHOA's Board of Directors will form an ad hoc committee of independent directors and appoint an independent expert to provide a fairness opinion on the offer [1]. The Board will then issue a reasoned opinion on the tender offer, which will be included in the draft response document to be filed with the French Autorité des marchés financiers (AMF).

References:
[1] NHOA. (2024, June 12). NHOA Informed of TCC Group Holdings' Intention to File a Simplified Tender Offer for NHOA Shares. Business Wire. https://www.businesswire.com/news/home/20240612005848/en/