DOW JONES NEWSWIRES
Financial advisers of Airgas Inc. (ARG) and Air Products &
Chemicals Inc. (APD) had discussions over the weekend regarding
their ongoing take-over battle, with each having a different take
from the situation.
The talks, called "brief" by Airgas in a filing Monday with the
Securities and Exchange Commission, come as the $5.48 billion fight
comes to a head Wednesday. That is when Airgas' annual meeting
occurs. Air Products is running a three-person slate for election
to Airgas' board, hoping that a change could make a potential
friendly takeover more likely. It is also seeking bylaw changes
that would result in another board vote in January.
Airgas has repeatedly called the approaches from its larger
rival too low.
In separate filings with the SEC, Air Products said it told the
Airgas representatives that it was willing to negotiate on price so
long as there was "constructive engagement" from Airgas. But Airgas
said, "At no point during either of the weekend conversations did
any of the Air Products representatives propose any revised offer
price or request a meeting nor in Airgas' view did Air Products
otherwise seek to enter into bona fide good faith
negotiations."
Airgas--the largest U.S. distributor of industrial, medical and
specialty gases--added it is ready to respond to a proposal at the
"right level," without specifying a price. Air Products' latest
offer is $65.50 a share and the stock was recently at $64.34, down
0.7% amid a broad market rally.
Meanwhile, Air Products--which sells gases such as argon,
hydrogen and oxygen to industrial plants--reiterated that it would
walk away from Airgas if its board slate and by-law proposals were
voted down.
Air Products' shares were at $78.60, up 0.8%, in recent
trading.
-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357;
Kathy.Shwiff@dowjones.com