Schaeffler Group’s owners may sell as much as 25 percent of the auto supplier to investors to alleviate the financial burden of its takeover of Continental AG amid the credit crisis, Sueddeutsche Zeitung reported, citing unidentified bankers.
Schaeffler faces increasing pressure from six banks to change the terms of the funding after Continental shares fell to less than 40 euros ($51.07) compared with the 75 euros-a-share purchase price, the newspaper said.
The owners are talking to financial investors and sovereign wealth funds, Sueddeutsche said. Another option would be to sell Continental’s tire unit, the newspaper reported. Schaeffler denied the plans to the newspaper. (Courtesy of Tire Review)