7 billion euros over its competitor and countryman Airgas

Streamlining time has no doubt sounded for the American actors of industrial gases. After two first unsuccessful approaches in four months, the American producer Air Products and Chemicals is committed to launch Friday a hostile offer of 5.1 billion (over 3.7 billion euros) over its competitor and countryman Airgas. 60 Dollars per share, the offer represents a premium of 38 from the last closing prices for Airgas, which stood at 43.5 $ by title. By integrating the resumption of 1.9 billion of debts, the total amount of the offer, entirely funded by JPMorgan Chase, amounted to $ 7 billion. If successful, the merger of the two operators could give rise to number one undisputed production of industrial gases in North America, with $ 13 billion of turnover in the U.S., Praxair Inc., and a close level of the European Air Liquide and Linde. "The Board of Airgas found unanimously that the supply of Air Products grossly underestimates the value of our company," said the CEO-founder of Airgas, Peter McCausland, recalling that the course of his company has risen 80 in five years. Already in October, Air Products had advanced an offer fully funded at $ 60 per title, followed by a second approach in part in cash, shares, partly in titles, in December. "We will use all legal means available to achieve our ends," warned the pattern of Air Products, John McGlade, who has already introduced, Friday, appealed to a court in Delaware to neutralize the mechanism of "poison pill" ("poison pill") put in place by Airgas in 2007. It allows current shareholders to purchase shares at a preferential price when a purchaser crosses the threshold of 15 of the ordinary capital. For leaders of Airgas, its competitor is a simple "opportunistic attempt to return to the company at a price discounted, by exploiting a brief anomaly in the respective stock-market performance of the two companies at the time when the economy begins its recovery".

The shadow of Air Liquide

At its current level, the Air Products offer values Airgas between 8 and 9 times the result before interest, taxes and allocations to depreciation (Ebitda). Founded in 1982, Airgas has experienced rapid growth through some 400 acquisitions in the US market, including hundreds of sites of compressed gases of Air Products, to 236 million dollars in 2002. The group now employs 14,000 employees. Its market capitalization is about $ 3.6 billion, with a turnover of $ 3.8 billion. On the other hand, Air Products, including industrial gases, such as argon, helium or nitrogen, producing estimates the amount of synergies annual with Airgas at 250 million dollars after two years and provides that the transaction should have a positive impact immediately on its results. Still present in the gas tablets in Europe, India and the Mexico, the US group wants to reinvest in high-growth sector in the United States. According to several analysts, the Air Liquide French or German Linde would, however, most logical candidates, taking into account their geographical complementarity. For its part, the American Praxair was State this weekend, of his intention to "monitor the situation."

In all cases, a possible agreement between Airgas and Air Products would be a thorough review of the regulatory authorities which have become more contemptuous with the acceleration of the concentration in this sector. The purchaser was ready to assign assets to get the green light from regulators.