Dutch State raises stake from 5.9% to near 13%
Feb 26, 2019, 12:13 pm
#1
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Dutch State raises stake from 5.9% to near 13%
According to nu.nl, the Dutch state will take a share in Air France - KLM.
Weren’t they already a minority stake holder?
Nederlandse staat neemt belang in Air France-KLM
https://www.nu.nl/algemeen/5763243/n...rance-klm.html
Weren’t they already a minority stake holder?
Nederlandse staat neemt belang in Air France-KLM
https://www.nu.nl/algemeen/5763243/n...rance-klm.html
Feb 26, 2019, 12:54 pm
#2
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They were, but only in KLM. This is in the holding KLM-AirFrance.
They spent 680mln Euro to get a 12,6% stake. They aim to increase this stake to 14%, so it'll be the exact same as the French have.
They spent 680mln Euro to get a 12,6% stake. They aim to increase this stake to 14%, so it'll be the exact same as the French have.
Feb 26, 2019, 1:06 pm
#4
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Feb 26, 2019, 10:10 pm
#5
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Dutch State raises stake from 5.9% to near 13%
https://www.bloomberg.com/news/artic...o-match-france
Apparently, the move took AF by surprise. Could be the prelude of a nationalistic fight: not a good news.
I wonder where those 7% shares come from. That's a lot of shares.Would explain why the share price went from about 10 to 12.7 in five days.
Apparently the French State owns 14%, Dutch State 13%, DL and MU 9% each.
Apparently, the move took AF by surprise. Could be the prelude of a nationalistic fight: not a good news.
I wonder where those 7% shares come from. That's a lot of shares.Would explain why the share price went from about 10 to 12.7 in five days.
Apparently the French State owns 14%, Dutch State 13%, DL and MU 9% each.
Feb 26, 2019, 10:46 pm
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https://www.bloomberg.com/news/artic...o-match-france
Apparently, the move took AF by surprise. Could be the prelude of a nationalistic fight: not a good news.
I wonder where those 7% shares come from. That's a lot of shares.Would explain why the share price went from about 10 to 12.7 in five days.
Apparently the French State owns 14%, Dutch State 13%, DL and MU 9% each.
Apparently, the move took AF by surprise. Could be the prelude of a nationalistic fight: not a good news.
I wonder where those 7% shares come from. That's a lot of shares.Would explain why the share price went from about 10 to 12.7 in five days.
Apparently the French State owns 14%, Dutch State 13%, DL and MU 9% each.
Last edited by carnarvon; Feb 27, 2019 at 1:47 am
Feb 26, 2019, 11:32 pm
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Feb 26, 2019, 11:51 pm
#8
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Another interesting article (in French) this morning. A little bit over dramatic IMO.
https://www.latribune.fr/entreprises...is-808902.html
https://www.latribune.fr/entreprises...is-808902.html
Feb 27, 2019, 12:10 am
#9
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"Dutch State raises stake from 5.9% to near 13% "
I stand to be correct on this, but I thought that the Dutch state already owned 5.9% of KLM, and has now purchased 12.68% of the shares in the Air France-KLM holding. This holding in turn is a minority shareholder in KLM, albeit the largest at 49%.
Johan
I stand to be correct on this, but I thought that the Dutch state already owned 5.9% of KLM, and has now purchased 12.68% of the shares in the Air France-KLM holding. This holding in turn is a minority shareholder in KLM, albeit the largest at 49%.
Johan
Feb 27, 2019, 1:24 am
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"Dutch State raises stake from 5.9% to near 13% "
I stand to be correct on this, but I thought that the Dutch state already owned 5.9% of KLM, and has now purchased 12.68% of the shares in the Air France-KLM holding. This holding in turn is a minority shareholder in KLM, albeit the largest at 49%.
Johan
I stand to be correct on this, but I thought that the Dutch state already owned 5.9% of KLM, and has now purchased 12.68% of the shares in the Air France-KLM holding. This holding in turn is a minority shareholder in KLM, albeit the largest at 49%.
Johan
And even Lemaire (French minister) indicates that this was a total surprise.
The French, especially the French government, were running AFKL as a pure French firm. Will be more difficult now
Like everyone else, I find the statement by Lemaire about no State interference idiotic
BTW the share price lost 12% this morning as investors realized that the recent surge was technical (Dutch purchases) and augur badly of the future The French State still has double votes. But in a couple of years, DL, MU and The Dutch State will have the same status
Last edited by brunos; Feb 27, 2019 at 1:34 am
Feb 27, 2019, 1:50 am
#11
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If the Dutch state equal ownership could balance and as a result "cancel" the French state influence in AFKL, that would be nice.
It may happen when you know how pragmatic and business oriented Dutch people can be.
It may happen when you know how pragmatic and business oriented Dutch people can be.
Feb 27, 2019, 1:57 am
#12
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The next step will be the appointment of representative of the Dutch state to AFKL Board.
But remember that the bylaws constrain the Borad composition:
https://www.airfranceklm.com/en/board-directors
But remember that the bylaws constrain the Borad composition:
https://www.airfranceklm.com/en/board-directors
Feb 27, 2019, 3:14 am
#13
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https://europeantransit.wordpress.com/2019/02/27/aviation-netherlands-takes-stake-in-air-france-klm/
Makes me feel that there will be less of a claim to AF/KLM being a French run company... Air France / KLM will now have equal French & Duch representation, and the Dutch wing making much more than AF. I wouldn't be suprised if we hear shouts of wanting to move more of AF/KLM to the Netherlands... Still unlikely to happen in practice though.
Makes me feel that there will be less of a claim to AF/KLM being a French run company... Air France / KLM will now have equal French & Duch representation, and the Dutch wing making much more than AF. I wouldn't be suprised if we hear shouts of wanting to move more of AF/KLM to the Netherlands... Still unlikely to happen in practice though.
Feb 27, 2019, 4:19 am
#14
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Well, it seems all gloves are off.
Feb 27, 2019, 5:32 am
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Well, it seems that gloves have always been off on the french side, where strong political influence on companies is business as usual. Directly and indirectly, KLM and Schiphol provide for about 1% of jobs in the Netherlands (about .5% directly). With the French continuously trying to get influence, traffic and money flowing from AMS towards CDG, that is a major risk to the dutch economy. Without the French government influence, you would actually expect AF/KLM to start moving more towards the KLM way of doing business, with KLM earnings more than 4-fold that of AF, better customer experience and way better work ethic. I can only imagine the US frustration with the french way of doing things within the DL/AF/KLM partnership.
As less french influence is never going to happen, the only way to bring balance back is more dutch influence. Exactly what happened here, with a huge approval rating among voters (initial polls say something like 90+%). And it's dirt cheap. buying major influence on about 1% of the 750 billion euro GDP (which is worth 7.5 billion) for about 650 million euro's in shares.
As less french influence is never going to happen, the only way to bring balance back is more dutch influence. Exactly what happened here, with a huge approval rating among voters (initial polls say something like 90+%). And it's dirt cheap. buying major influence on about 1% of the 750 billion euro GDP (which is worth 7.5 billion) for about 650 million euro's in shares.