Linde relieves merger deal pressure with easier terms


The German gas company Linde announced Monday that it would extend a deadline and lower the threshold of shareholder approval in its proposed merger with the US company Praxair, easing pressure on the high stakes project .

The decision means that only 60% of Linde shareholders must agree to exchange their shares for an interest in a new holding company for the merger to materialize, rather than the previous hurdle of 75% .

Due to the change in terms of the deal, investors now have two more weeks – until November 7 – to make a decision, the firm added.

On Friday, only 50.8% of the shareholders of the German company had agreed to the deal as the October 24th deadline approached, said the two companies.

Monday's move was good news for the Linde stock, which rose 1.4% to trade at 181.45 euros (213.18 dollars) around 9:20 GMT, overtaking the DAX index of German first class stocks.

Linde and Praxair have been courting for more than a year, after Air Liquide's purchase of the American company Airgas in May 2016 propelled it into the world's largest supplier of industrial gases.



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